Stablecoin
USD Coin (USDC)
USDCData: Coinbase · updated 9/6/2026, 1:02:17 PM
What USD Coin does
- Aims to maintain a stable 1:1 value with the US dollar
- Backed by cash and short-term US Treasury holdings, per Circle's disclosures
- Redeemable 1:1 for US dollars directly through Circle for eligible users
- Widely used as collateral and a settlement asset across DeFi protocols
Risks to know
- Depends on Circle as issuer and custodian of reserves — counterparty/issuer risk
- Briefly traded below its $1 peg in March 2023 after Circle disclosed reserve exposure to the failed Silicon Valley Bank
- Regulatory treatment of stablecoins continues to evolve and could affect issuance or redemption
- Not FDIC-insured to the holder the way a bank deposit is
Where to trade USDC
Top-rated exchanges by CompareCEX Score. Check the exchange's market list for USDC availability before depositing.
Frequently asked questions
Who issues USDC?
USDC is issued by Circle, a US-based financial technology company. Circle publishes regular attestations about the reserves backing USDC in circulation.
Did USDC ever lose its dollar peg?
Yes, briefly. In March 2023, USDC traded below $1 for a short period after Circle disclosed that some of its reserves were held at Silicon Valley Bank, which had just failed. USDC returned to its peg once US regulators guaranteed depositors at that bank.
What backs USDC?
According to Circle's disclosures, USDC is backed by cash held at regulated financial institutions and short-term US Treasury securities, with regular third-party attestations of reserve holdings.
Related coins
CompareCEX may earn a commission when you sign up through our links. This does not influence our editorial scores. Crypto assets are volatile and unregulated in many jurisdictions. Not financial advice.