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Circle’s USDC (USDC) now accounts for 56% of stablecoin trading against the euro, up from 10% in January 2024, Cointelegraph reported, citing a new Kaiko report. That puts it ahead of Tether’s USDt (USDT) in euro-denominated pairs, a reversal driven by European Union rules that have pushed exchanges to restrict USDT for the bloc’s users.
USDC has also moved ahead of USDT on euro liquidity. According to Cointelegraph, its order books are now roughly 40% deeper than its rival’s. Globally the picture is unchanged: Tether remains the larger stablecoin, with a circulating supply about 2.5 times that of USDC.
Also read: EU issuers push MiCA-regulated dollar stablecoins alongside euro tokens
Key facts
- USDC’s share of euro stablecoin trading reached 56%, versus 10% in January 2024, per Kaiko.
- USDC’s euro order books are roughly 40% deeper than USDT’s.
- Tether’s circulating supply remains about 2.5 times USDC’s worldwide.
- Kaiko described stablecoin-to-euro pairs as a main on-ramp and off-ramp for European customers.
- USDC was designated the EU’s first “significant” e-money token on October 14, 2026, according to Cryptobriefing.
The timeline behind the swit
Kaiko found that the turnover accelerated after major exchanges limited USDT trading for customers in the European Economic Area under the Markets in Crypto-Assets Regulation. Cryptobriefing reported that MiCA’s stablecoin rules took effect on June 30, 2024, and that a transition period ended in mid-2026, giving platforms time to adjust before non-compliant tokens such as USDT were delisted.
That deadline is now producing concrete changes. Cryptobriefing reported that Coinbase will automatically convert USDT and 13 other non-compliant tokens for EEA users on or after October 30, 2026, steering those balances toward USDC and other compliant alternatives. Cointelegraph’s account focused on the market-share and liquidity data without detailing the conversion plan, while Cryptobriefing supplied the June 2024 effective date, the mid-2026 end of the transition period and the Coinbase date.
Also read: EU Regulator Tags Circle's USDC as Significant Under MiCA
Regulatory status and the US parallel
Cointelegraph reported that the Kaiko findings landed about two weeks after the European Banking Authority named USDC the EU’s first “significant e-money token” under MiCA, a label placing it under direct EBA supervision and adding requirements for its issuer. Cryptobriefing dated that recognition to October 14, 2026, and said EBA oversight of reserves and liquidity begins November 12, 2026.
Kaiko said the United States is taking a similar path under the GENIUS Act, raising the possibility that American venues could see the same shift. Cointelegraph reported that the Office of the Comptroller of the Currency issued its first final rule under the law on Oct. 21, setting reserve and redemption requirements for stablecoin issuers it supervises, effective Jan. 18, 2027. From July 2028, US platforms will face restrictions on offering stablecoins from issuers that do not meet the law’s approval requirements.
Why it matters
The headline contest is between two dollar-pegged tokens, not a shift toward euro assets. Cryptobriefing reported that euro-backed stablecoins captured up to 67% of the euro-stablecoin trading segment across 2024 to 2025 data but still represented under 8% of total EUR trading volume. The practical effect is a split market: compliant tokens such as USDC gain access to licensed European venues and their liquidity, while USDT keeps strong usage outside regulated channels, notably in decentralized finance, where smart contracts rather than licensed intermediaries make the rules harder to enforce directly. For Circle, the classification is a regulatory tailwind with closer scrutiny attached; for Tether, Europe is shrinking as a channel rather than as a source of demand.
What to watch
The next markers are whether USDC’s 56% share climbs further once Coinbase’s conversion and similar moves take full effect, how EBA supervision plays out in practice after November 12, 2026, and whether euro-denominated stablecoins can grow past their sub-8% slice of total EUR trading volume.
Reported by cointelegraph.com.
Sources: Cointelegraph, Cryptobriefing