Following President Donald Trump’s tariff announcement on China, more than $1.75 billion in new USDT and USDC entered circulation, contributing to the recent market crash.
On October 11, blockchain analytics firm Lookonchain reported that Tether, the leading stablecoin issuer, minted approximately $1 billion worth of USDT on Ethereum.
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New Stablecoin Mints Indicate Investors Capitalizing on the Crypto Dip
Crypto analyst JA Maartun, referencing CryptoQuant data, noted that Tether minted $775.8 million on October 10 and an additional $771 million on October 11. This surge marks one of the largest short-term issuances this year.
With this increase, Tether’s total supply now stands at $180 billion, including $80 billion on Ethereum alone.
In the meantime, Circle—the issuer of USDC—minted $750 million in new tokens on Solana, boosting its total holdings on the network to $12.84 billion and elevating its overall supply to nearly $75 billion.
The timing of these issuances is noteworthy.
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On Friday, the crypto market lost approximately $20 billion in leveraged positions following Trump’s tariff expansion, leading to a significant sell-off across major assets like Bitcoin and Ethereum.
This liquidation cascade eliminated over-extended longs and erased earlier double-digit gains from the week.
However, the influx of new stablecoin mints indicates that market participants are reallocating capital through stable assets, instead of exiting the space, suggesting a preparation for upcoming market opportunities.
Market analysts view this as a signal that traders are gearing up to buy digital assets at lower prices.
Supporting this perspective, blockchain tracker Lookonchain reported that Bitmine, an Ethereum-focused investment firm, acquired roughly 128,700 ETH valued at around $480 million shortly after the crash.
The firm stated that six wallets linked to the ETH treasury company withdrew the funds from trading platforms, FalconX and Kraken, within hours of the decline.
Thus, the rapid return of capital through new USDT and USDC issuances highlights how quickly sentiment in digital markets can recover, even after a sudden macro-driven correction.
