Solana News Today: Circle mints 250 million USDC on Solana amid DeFi and institutional demand surge

Circle has minted 250 million USDC tokens on the Solana blockchain, marking a significant expansion of the stablecoin’s presence on the high-performance network. The large-scale issuance, reported by Whale Alert and confirmed through multiple crypto news platforms, underscores growing demand for USDC in both institutional and decentralized finance (DeFi) ecosystems [1]. This action is part of a broader trend where Circle continues to increase its USDC supply on Solana, leveraging the network’s low fees and fast transaction speeds to meet surging liquidity needs.

The recent minting follows a rapid acceleration in USDC’s supply on Solana, which has grown from $2.5 billion to $10 billion within weeks. This growth is attributed to increased activity in DeFi and cross-chain infrastructure, such as Wormhole and LayerZero, which enable seamless token movement across blockchains [1]. The expansion reflects a strategic shift by institutional investors and DeFi protocols to utilize Solana’s scalable architecture for high-velocity stablecoin operations.

Financial analysts attribute the increased minting activity to rising demand for crypto assets and anticipate further growth in DeFi protocol activities and stablecoin transactions across multiple networks [1]. USDC has already become a dominant stablecoin in DeFi, with 26% of total value locked (TVL) in lending protocols like Aave and Compound. In Aave Arc alone, $2.6 billion is currently locked in USDC-based positions [1]. Additionally, 34% of decentralized exchange (DEX) liquidity pools now use USDC, supporting over $4.9 billion in daily trading volume.

Regulatory developments have also supported the rise of USDC. A January 2025 U.S. executive order classified stablecoins as “essential financial instruments,” while the European Union’s MiCA framework has pushed non-compliant alternatives to the sidelines, reinforcing USDC’s leadership in the stablecoin market [1]. These developments have bolstered confidence among institutional investors, who are increasingly using stablecoins for instant settlement and redemption in tokenized financial products.

Circle CEO Jeremy Allaire has emphasized Solana’s role in enabling real-time payments and high-velocity stablecoin usage. “We believe Solana’s high performance makes it critical for the future of real-time payments and high-velocity stablecoin usage,” he stated [1]. This aligns with broader strategies to expand the use of USDC in capital markets and DeFi ecosystems. The velocity at which USDC tokens are minted, transacted, and burned—typically within 31.6 days—further supports its role as a high-speed liquidity vehicle.

As of the latest data, Circle has issued a cumulative $24.75 billion in USDC on Solana, including a $750 million addition in early August 2025 [4]. The recent $250 million minting is part of a $1.25 billion increase in the past seven days, indicating sustained interest in the Solana network for high-frequency transactions, cross-chain swaps, and tokenized asset integration.

Sources:

[1] The 250M USDC Minting: A Clear On-Ramp for Institutional ... (https://www.ainvest.com/news/250m-usdc-minting-clear-ramp-institutional-capital-crypto-2508/)

[2] Circle Mints 250 Million USDC on Solana Network (https://www.binance.com/en/square/post/286136****5217)

[3] Solana - Tag Archives (https://cryptonews.com/tags/solana/)

[4] Crypto News - Latest Bitcoin, Ethereum & Altcoin Updates (https://t.signalplus.com/crypto-news/all)