Tether Gains Ground on USDC in BitPay Transactions by 2025
In the evolving landscape of cryptocurrency payments, Tether‘s stablecoin-attestation-reports-guide/” title=”usdt” class=”auto-link”>USDT has significantly narrowed the gap with USDC on BitPay, one of the leading payment platforms. Recent data from BitPay highlights a notable shift in transaction shares between these two stablecoins from 2024 to 2025, signaling changing preferences among users and merchants.
The Shift in Stablecoin Dominance
In January 2024, USDC dominated BitPay’s stablecoin transactions with an 85% share, compared to USDT’s 13%. By May 2025, this dynamic shifted dramatically. USDC’s share fell to 56%, while USDT’s rose to 43%. This trend reflects growing merchant and user preference for USDT, despite USDC’s regulatory advantages and public market debut.
Volume and Transaction Trends
USDT has also taken the lead in payment volume on BitPay. Since March 2025, USDT has accounted for over 70% of the platform’s stablecoin volume. BitPay attributes this shift to increased stablecoin transactions overall and a clear preference for USDT among its user base.
Regulatory and Market Context
The divergent strategies of Tether and Circle regarding regulation and public offerings have significantly influenced market dynamics. While Circle embraced Europe’s MiCA regulations and completed a public offering, Tether has criticized MiCA and declined to go public. Interestingly, USDC’s market capitalization grew 88% in the past year, outpacing USDT’s 40% growth.
Market Implications
The competition between USDT and USDC on platforms like BitPay demonstrates the cryptocurrency market’s fluid nature. As both stablecoins evolve, their adoption rates will serve as key indicators of broader trends in digital payments and regulatory adaptation.
