Solana Witnesses Daily USDC Transfer of $750 Million by Circle Mints, Stirring Reactions Among Shares Due to Stock Sale Document Announcement
In a strategic move to unlock institutional-grade liquidity, accelerate cross-border payments, and deepen decentralized finance (DeFi) opportunities, Circle, a leading stablecoin issuer, has announced plans to expand the circulation of its USDC stablecoin on the Solana blockchain.
This expansion aims to transform Solana into a robust platform for liquidity, compliance-driven payments, and DeFi innovation, thereby driving broader adoption and utility of USDC globally.
Key reasons and impacts of this move include:
- Institutional adoption and DeFi integration: Circle minted over $10 billion USDC on Solana in 2025, reflecting a fivefold increase from $2.5 billion earlier that year, signaling growing institutional demand for Solana-based DeFi, where USDC liquidity fuels lending, yield generation, and seamless cross-chain asset transfers.
- Cross-border payments and real-time euro onramps: Collaborations like the Ivy partnership provide real-time euro onramps with compliance features, enhancing the usability of USDC for international payments and treasury use cases, enabled by Solana’s efficient infrastructure.
- Regulatory clarity: The GENIUS Act and related compliance frameworks reinforce institutional confidence in USDC by ensuring full reserve backing and oversight, making Solana-based USDC more attractive for regulated institutions.
- Cross-chain interoperability: Circle’s Cross-Chain Transfer Protocol (CCTP) facilitates the movement of USDC liquidity seamlessly between Solana and other major blockchains, expanding liquidity reach and utility across diverse DeFi ecosystems.
- Yield opportunities: USDC holders can access competitive yield platforms on Solana, increasing stablecoin activity and liquidity demand on the network.
- Liquidity scale and market dominance: As of mid-2025, USDC on Solana reached a $24 billion supply with over 70% market share of Solana stablecoin liquidity, underscoring Solana’s emergence as a core stablecoin liquidity hub in crypto finance.
- Ease of use for businesses: Expanding USDC support to Solana (and other blockchains like Polygon and Base) reduces costs and speeds settlements, benefiting enterprises and payment providers integrating stablecoins.
In addition, Circle's total revenue for the second quarter reached $658 million, surpassing analyst expectations of $647 million. Reserve income increased 50% year over year to $634 million, driven by an 86% rise in USDC circulation. Solana's high throughput and lower transaction costs compared to other Layer 1 blockchains are contributing to rising USDC demand.
Jeremy Allaire, CEO of Circle, stated that USDC is the fastest-growing major stablecoin over the past year. The company's cryptocurrency, Solana, is becoming a venue for stablecoin-based financial services. A recent filing includes 2 million Class A common stock offered by Circle and 8 million shares offered by existing shareholders.
As USDC continues to grow and find a home on various blockchains, it is poised to play a significant role in the evolving landscape of digital finance, offering increased liquidity, improved cross-border payments, and enhanced DeFi opportunities.
- The expansion of Circle's USDC stablecoin on the Solana blockchain propels Solana as a venue for stablecoin-based financial services in the crypto industry, attracting increased liquidity, driving broader adoption, and augmenting DeFi opportunities.
- Solana's efficient infrastructure, complemented by cross-border payments and real-time euro onramps provided by collaborations like the Ivy partnership, makes USDC an appealing choice for businesses seeking seamless, compliant, and cost-effective international transactions.
- As Circle's total revenue continues to soar, reaching $658 million in Q2, and with the growing demand for USDC on Solana, it becomes evident that the integration of cryptocurrency and technology in finance is reshaping the business landscape by offering increased liquidity, improved cross-border payments, and enhanced DeFi opportunities.
