USDC circulation decreased by 1.3 billion tokens week-over-week, with Circle's reserve structure maintaining a high liquidity allocation

【ChainNews】Circle’s latest official data shows that over the past week (up to December 18), USDC’s market dynamics have experienced significant fluctuations. Approximately 4.7 billion tokens were issued, while redemptions reached 6 billion tokens, resulting in a net decrease of 1.3 billion tokens in circulation.

Currently, the total circulating supply of USDC remains stable at 772 billion tokens, backed by reserve assets totaling $77.5 billion. The specific allocation of these reserves is noteworthy: overnight reverse repurchase agreements account for the majority, approximately $53.3 billion; short-term government bonds with maturities under 3 months amount to about $14.3 billion; deposits at systemically important banks are around $9.2 billion; and other regular bank deposits are approximately $700 million.

From the reserve structure perspective, USDC’s asset allocation favors highly liquid and low-risk instruments, with US Treasuries and repurchase agreements making up over 85%. This conservative allocation strategy among stablecoins also reflects ongoing control over reserve adequacy. The recent phenomenon of redemptions exceeding issuances may suggest some adjustments in market demand for USDC.