A major on-chain event saw the burning of 201 million USD Coin (USDC) from circulation, as reported on February 21, 2025. This substantial transaction was executed by the official USDC Treasury, marking one of the largest single-burn operations for the stablecoin this year. The burn reflects a contraction in demand for USDC, likely due to high redemption pressure or strategic treasury management. The process of burning involves permanently removing tokens from the supply, typically when users redeem USDC for fiat currency. This action ensures the stablecoin remains fully backed by dollar reserves. The transaction was verified by blockchain explorers, confirming its authenticity and scale. While the immediate market impact is limited, the burn underscores the responsive nature of stablecoin supply management and highlights the transparency and trust in the digital dollar ecosystem.