According to Lookonchain data, the daily trading volume of the stablecoin Tether (USDT) has surpassed Visa. USDT’s daily trading volume reached $5.3 billion, while Visa’s average trading volume is $4.2 billion. This achievement reflects the increasing dominance of stablecoins, with USDT leading in terms of market capitalization.
Since April, the three leading stablecoins, USDT, USDC, and DAI, have had a monthly trading volume of $1.369 trillion, surpassing Visa’s average of $1.23 trillion calculated based on data from 2023.
Tether’s recent developments may have contributed to this trend, including its support for blockchain and digital asset education, as well as the launch of Tether Gold, a gold-backed synthetic US dollar.
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Despite the bearish cryptocurrency market, stablecoins like USDT have performed well. Over the past four years, the monthly stablecoin transfer volume on Token Terminal has grown tenfold, with USDT playing a significant role.
Over the past decade, the monthly stablecoin transfer volume has increased by approximately four times, from $100 billion to $1 trillion+.
The benchmark comes from Visa:
“In FY23, VisaNet processed a total of $15 trillion in volume.” – Ryan McInerney, CEO
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— Token Terminal (@tokenterminal)
June 19, 2024
Stablecoins are increasingly being seen as viable alternatives to traditional payment methods. However, the rise of stablecoins has drawn the attention of regulatory authorities. For example, some cryptocurrency companies based in the European Union, such as Uphold, have suspended the issuance of most stablecoins to comply with MiCA regulations. Tron’s USDT, in particular, is under scrutiny for its alleged involvement in illegal activities. Reports from Chainalysis and the United Nations emphasize its use in money laundering, illegal gambling, cybercrime, and fraud in Asia, primarily due to its price stability and low transaction fees.
Tether has expressed disappointment with these allegations and highlights the benefits of USDT for emerging economies in developing markets. The company also collaborates with authorities to combat illegal activities, including freezing funds related to criminal activities.
