{"id":564813,"date":"2023-03-17T05:02:36","date_gmt":"2023-03-17T02:02:36","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/crypto-users-turned-to-dexs-loaded-up-on-usdc-after-silicon-valley-bank-crash\/"},"modified":"2023-03-17T05:02:36","modified_gmt":"2023-03-17T02:02:36","slug":"crypto-users-turned-to-dexs-loaded-up-on-usdc-after-silicon-valley-bank-crash","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/crypto-users-turned-to-dexs-loaded-up-on-usdc-after-silicon-valley-bank-crash\/","title":{"rendered":"# Crypto users turned to DEXs, loaded up on USDC after Silicon Valley Bank crash"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a41df3d7e6c8\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a41df3d7e6c8\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/crypto-users-turned-to-dexs-loaded-up-on-usdc-after-silicon-valley-bank-crash\/#%E2%80%9D_Crypto_users_turned_to_DEXs_loaded_up_on_USDC_after_Silicon_Valley_Bank_crash_%E2%80%9C\" >&#8221; Crypto users turned to DEXs, loaded up on USDC after Silicon Valley Bank crash &#8220;<\/a><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_Crypto_users_turned_to_DEXs_loaded_up_on_USDC_after_Silicon_Valley_Bank_crash_%E2%80%9C\"><\/span>&#8221; Crypto users turned to DEXs, loaded up on USDC after Silicon Valley Bank crash &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<div class=\"post-content\" data-v-48054ca8>The collapse of Silicon Valley Bank (SVB) saw investors loading their bags with USD Coin (USDC), along with an\u00a0exodus of funds from centralized exchanges (CEXs) to decentralized exchanges (DEXs).<\/p>\n<p>Outflows from centralized exchanges often spike when the markets are in turmoil, explained blockchain analysis firm Chainalysis in a March 16 blog <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/blog.chainalysis.com\/reports\/crypto-market-usdc-silicon-valley-bank\/\">post<\/a>, as users are likely worried about losing access to their funds when exchanges go down.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2023-03\/522a2f2a-7232-4a54-9cf0-2d5dc90950f4.png\"><figcaption style=\"text-align: center;\"><em>Funds sent from CEXs to DEXs following SVB\u2019s collapse. Source: Chainalysis.<\/em><\/figcaption><\/figure>\n<p>Data from Chainalysis shows that hourly outflows from CEXs to DEXs spiked to over $300 million on March 11, soon after SVB was shut down by a Californian regulator. <\/p>\n<p>A similar phenomenon was observed during the collapse of cryptocurrency exchange FTX last year, amid fears that the contagion could spread to other crypto firms. <\/p>\n<p>However, data from the blockchain analytics platform Token Terminal suggests that the surge in daily trading volumes for large DEXs was short-lived in both cases.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2023-03\/b6e5dfef-97b9-4210-909e-1a3cb76e3848.png\"><figcaption style=\"text-align: center;\"><em>Daily trading volumes for large DEXs from September to March. Source: <\/em><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/tokenterminal.com\/terminal\/markets\/exchange\"><em>Token Terminal<\/em><\/a><em>.<\/em><\/figcaption><\/figure>\n<p>USDC was identified as one of the top assets being moved to DEXs, which Chainalysis said was unsurprising given that USDC depegged after stablecoin issuer Circle announced it had $3.3 billion in reserves stuck on SVB, prompting many CEXs like Coinbase to temporarily halt USDC trading.<\/p>\n<p><strong>Related: <\/strong><strong><em>Circle clears \u2018substantially all\u2019 minting and redemption backlog for USDC<\/em><\/strong><\/p>\n<p>What was surprising, Chainalysis noted, was the surge in USDC acquisitions on large DEXs such as Curve3pool and Uniswap, saying: \u201cseveral assets saw large spikes in user acquisition, but none more than USDC.\u201d<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2023-03\/fec0c072-145e-4147-9317-b4f759fbd4c4.png\"><figcaption style=\"text-align: center;\"><em>Token acquisitions on Uniswap from March 7 to March 14. Source: Chainalysis.<\/em><\/figcaption><\/figure>\n<p>Chainalysis theorized that this was due to confidence in the stablecoin, with some crypto users loading up on USDC while it was relatively cheap and betting that it would regain its peg \u2014 which it did on March 13, <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/coinmarketcap.com\/currencies\/usd-coin\/\">according<\/a> to CoinMarketCap.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2023-03\/00784b12-a7a1-4564-a90a-c1610150b5b1.png\"><figcaption style=\"text-align: center;\"><em>USDC\u2019s brief depeg from March 11 to March 13. Source: CoinMarketCap.<\/em><\/figcaption><\/figure>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/crypto-users-turned-to-dexs-loaded-up-on-usdc-after-silicon-valley-bank-crash\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; Crypto users turned to DEXs, loaded up on USDC after Silicon Valley Bank crash &#8220; The collapse of Silicon Valley Bank (SVB) saw investors loading their bags with USD Coin (USDC), along with an\u00a0exodus of funds from centralized exchanges (CEXs) to decentralized exchanges (DEXs). Outflows from centralized exchanges often spike when the markets are&#8230;<\/p>\n","protected":false},"author":1,"featured_media":564814,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/cdn-cgi\/image\/format=auto,onerror=redirect,quality=90,width=1200\/https:\/\/s3.cointelegraph.com\/uploads\/2023-03\/b1530e63-09fd-48c3-919f-c328e2be518c.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[75936,74956,74877,74868,135234,75493,88700,4978,71939,117,13096,72366,67874],"class_list":["post-564813","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-circle","tag-coinbase","tag-decentralized-exchange","tag-defi","tag-ftx","tag-stablecoin","tag-uniswap","tag-bankruptcy","tag-banks","tag-business","tag-california","tag-data","tag-united-states"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/564813","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=564813"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/564813\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/564814"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=564813"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=564813"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=564813"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}