Bernstein: Circle's USDC market cap could reach $220B by 2027

Analysts at Bernstein forecast that Circle's dollar-pegged stablecoin, USDC, could see its market capitalization reach approximately $220 billion by 2027. The firm anticipates that USDC's market share will expand to 33%, driven by its strong liquidity and a compliance advantage stemming from the potential passage of U.S. stablecoin legislation. While Tether's USDT currently holds a dominant position with a $180 billion market cap and 62% share, Bernstein noted that USDC has a liquidity edge over newer entrants like PayPal's PYUSD and Tether's U.S. subsidiary, USAT. The report also suggested that USDC's total supply could reach $4 trillion by 2035 as its regulatory compliance attracts more institutional partnerships. Bernstein projects the entire stablecoin market will grow to a total size of $670 billion by 2027.