Circle announces $3 billion USDC redemption in three days

Article Reading Time:
1 min.

Circle company, stablecoin issuerUSDC said that from March 13 to March 15, users redeemed $3 billion in USDC. Since Monday morning, Circle has repurchased $3.8 billion in USDC and issued $800 million in stablecoins.

Earlier in March, the stablecoin temporarily lost itspeg to the US dollar. The reason was that Circle announced the placement of $3.3 billion - 8% of the stablecoin reserves - in the bankrupt Silicon Valley Bank (SVB). 

On March 13, Circle announced that it had removed the risk of asset loss in SVB. On the same day, the company opened access to assets for users.

“As of the close of U.S. banking operations on Wednesday, March 15, we had cleared virtually all of the backlog of USDC issuance and redemption requests,” the company wrote.

The company acknowledges that the events of the past week have impacted USDC liquidity operations. 

“Circle has worked tirelessly to re-launch services with alternative banking partners, particularly US dollar payment and redemption services,” the company said.

Earlier, information appeared that investors in USDC withdrew almost $1.74 billion amid the crisis. This is more than 2% of USDC's current assets.