$USDC

USDC, the second-largest stablecoin, maintains its $1 peg through full reserves, but its market cap has dropped from $45 billion (2022) to around $28 billion due to reduced demand amid high-interest rates and competition from alternatives like FDUSD. Despite this, its issuer, Circle, remains financially stable, with plans for an IPO in 2024.

Price predictions suggest USDC will stay near $1, backed by its reserve transparency and regulatory compliance. However, risks include potential SEC scrutiny and declining usage in DeFi. If interest rates fall in 2024, demand for USDC could rebound. Long-term stability depends on regulatory clarity and adoption in traditional finance, where Circle is expanding partnerships.