Stablecoin Transactions Hit Record $1.79 Trillion in June, Analytics Show

The adjusted transaction volume for stablecoins rose to its highest-ever level of $1.79 trillion (roughly Rs. 17,077,390 crore) in June, representing growth of 63 percent from May's $1.1 trillion (roughly Rs. 10,495,100 crore). June's all-time high in stablecoin transaction volumes beats the previous record high of $1.78 trillion (roughly Rs. 16,981,980 crore) in February, and this is 125 percent higher than last year, according to Visa's Allium-powered stablecoin analytics dashboard. The sudden surge in stablecoin transaction volume indicates increased use for various real-world use cases, such as making payments and transferring funds across borders. 

USDC Leads Monthly Volumes While Base Tops Blockchain Activity

The figure is calculated despite the prevailing crypto bear market and the indication that stablecoins have become an influential player within the crypto ecosystem. Despite USDt stablecoin from Tether being the highest in market capitalisation, most of the transaction volume, which is about 67 percent, was Circle's USDC at $1.21 trillion (roughly Rs. 11,449,610 crore) per month. About 32 percent, or $576 billion (roughly Rs. 549,562 crore), was attributed to USDT, according to Visa. 

The third-largest stablecoin in terms of transaction volume is PYUSD of PayPal, amounting to $2.42 billion (roughly Rs. 23,089 crore) in June. Visa worked in collaboration with Artemis, Allium Labs, and Castle Island Ventures in crafting an altered method of transactions that eliminates “distracting metrics” like trading bots, rebalancing of exchange treasuries, and repeated smart contract transactions, according to the company.

The largest network utilised for stablecoin transactions in June was Coinbase's Ethereum layer-2 network Base, at $565 billion (roughly Rs. 539,067 crore) or 31.5 percent of the total, followed by Ethereum, at $562 billion (roughly Rs. 536,205 crore). The Tron blockchain was in third place, having reached a volume of $320 billion (roughly Rs. 305,312 crore), or 18 percent of the total amount. In addition to this, another competitor is entering the already overcrowded stablecoin market by launching Open USD (OUSD) by the Open Standard project with support from more than 140 payments, banking, technology, and crypto companies, including Visa and Mastercard. 

A study by Chainalysis in April predicted that stablecoin transactions are estimated to cross $1.5 quadrillion (roughly Rs. 14,31,15,000 crore) within the next decade, potentially exceeding current estimates of global cross-border payments volumes. It is also reported that this figure could double by 2035 if a major criterion is met. The baby boom generation should transfer $100 trillion (roughly Rs. 95,41,000 crore) in wealth to the younger generations, which includes millennials and Gen Z. These generations are more likely to be crypto native, and thus, this will lead to stablecoins becoming their default payment infrastructure.