USDC Treasury just executed a massive burn operation — over 55 million tokens removed from circulation. The official burn totaled 55,098,299 USDC (approximately $55.09M), reflecting ongoing supply management by Circle.

This type of treasury operation typically occurs when users redeem USDC for fiat currency, with the corresponding tokens permanently destroyed to maintain the 1:1 peg. Large-scale burns like this can signal institutional redemption activity or strategic balance sheet adjustments.

For those tracking stablecoin flows, these treasury movements often precede shifts in DeFi liquidity or fiat market pressure. Worth monitoring whether this correlates with broader capital rotation patterns across protocols.