USDC Takes 56% of Euro Stablecoin Trading, Overtaking USDT, Kaiko Says
USDC's share of stablecoin trading against the euro has climbed to 56% from 10% in January 2024, Kaiko says, with order books roughly 40% deeper than USDT's as MiCA reshapes European exchange listings. Kaiko expects a similar dynamic in the US under the GENIUS Act.
Circle's USDC now handles 56% of stablecoin trading against the euro, up from 10% in January 2024, according to a new report from data provider Kaiko. The shift puts USDC ahead of Tether's USDT in a market that serves as a main gateway for European crypto users. It follows a series of changes at exchanges serving the European Economic Area (EEA) under the EU's Markets in Crypto-Assets Regulation (MiCA).
Kaiko described stablecoin-to-euro pairs as a "main on-ramp and off-ramp for European customers." The report says the move accelerated after major exchanges restricted USDT trading for EEA customers under MiCA. Liquidity has followed volume: order books for USDC in euro trading are now roughly 40% deeper than those for USDT.
Regulatory timeline
MiCA's stablecoin rules took effect on June 30, 2024, and a transitional period ended in mid-2026. Kaiko's findings arrived about two weeks after the European Banking Authority designated USDC the EU's first "significant e-money token," a classification that places it under direct EBA supervision. The designation came on October 14, 2026, and EBA oversight begins November 12, 2026.
Exchange policy is tracking the rules. Coinbase will automatically convert USDT and 13 other non-compliant tokens for EEA users on or after October 30, 2026.
Limits of the shift
Tether remains the larger stablecoin globally, with a circulating supply about 2.5 times that of USDC. USDT also retains strong usage outside regulated channels, particularly in DeFi, which MiCA struggles to reach directly.
Nor is this a move toward euro-denominated tokens. Euro-backed stablecoins captured up to 67% of the euro-stablecoin trading segment in 2024 to 2025 data but made up under 8% of total EUR trading volume. The contest is mainly between two dollar-pegged assets.
USDC's gains also carry obligations. Direct EBA supervision brings closer scrutiny of Circle's reserves and liquidity in the bloc.
What it signals for the US
Kaiko sees the US taking a similar approach under the GENIUS Act, meaning US exchanges could see a comparable shift. On Oct. 21 the Office of the Comptroller of the Currency (OCC) issued its first final rule under the law, with reserve and redemption requirements 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.
Tether has launched a separate US-focused stablecoin, USAT.
The European data offers an early read on how compliance rules redistribute liquidity. Where regulation set the terms for access, the compliant issuer gained share quickly, climbing from 10% to 56% in under three years. Tether faces pressure on other fronts as well: Sen. Richard Blumenthal demanded records on its payments to Bo Hines' firm Nxum this month. Circle, for its part, has added hourly USDC mint and redeem auctions through Circle Match.
