According to the statistics of Watchers, a Web3 analysis platform, there are a total of 314.167 million USDC, Sent by its issuer, Circle, to an empty Ethereum address with header 0x00 on March 13. Empty addresses are typically used to remove tokens from circulation through one-way transactions.
On March 12, Circle announced that following a joint announcement by U.S. Treasury Secretary Janet Yellen and other regulators, all depositors at Silicon Valley Bank (SVB) representing $3.3 billion, or 8% of total USDC reserves It will be "fully available," when Bank of America opens for business on March 13. Jeremy Allaire, Circle’s co-founder and CEO, commented: "Trust, security, and 1:1 redeemability of all USDC in circulation are critical to Circle, even in the face of banking sprawl impacting the cryptocurrency market. We are pleased to see critical steps taken by the US government and financial regulators to mitigate risks to the banking system.”
USD Coin is designed to be convertible 1:1 with the U.S. dollar, with token economics determined by fiat collateral proportional to the minting and burning of new tokens. On March 10, Circle’s custodian bank, SVB, suffered a bank run after a series of leveraged long positions at the U.S. Treasury failed, forcing federal regulators, including the FDIC, to intervene.
At the time of publication, USDC is trading at $0.9958, compared to an all-time low of $0.87 two days ago. Circle said it would use corporate funds and external funding to defend USDC if necessary, in the event of a funding shortfall. According to reports, some cryptocurrency whales dumped USDC at the bottom during the decoupling event, causing significant losses.
