CoinGecko reports that the USDC stablecoin has returned to its one-to-one value with the US dollar. This comes after a period of decline when some holders tried to redeem their tokens due to Circle's decision to keep some of the funds backing USDC in Silicon Valley Bank. However, federal banking and finance regulators have stated that all depositors in the bank will be able to access their funds on Monday, which has helped stabilize the situation.
Circle has admitted that approximately $3.3 billion, which accounts for around 8% of the total funds supporting USDC, was held in Silicon Valley Bank. On Friday, the Federal Deposit Insurance Corporation announced that insured SVB depositors would be able to access their funds by Monday, but uninsured depositors would only receive an advance sometime in the upcoming week. As SVB's assets are sold off, uninsured depositors will receive a dividend. The majority of the funds held in SVB, over 90%, were uninsured.