Currencies33645
Market Cap$ 3.55T-1.59%
24h Spot Volume$ 72.02B+2.03%
DominanceBTC60.20%+0.01%ETH9.36%+1.36%
ETH Gas1.26 Gwei
Cryptorank
MainNewsAre Stableco...

Are Stablecoins the Future of Payments? New Study Raises Doubts


by CoinEdition
Are Stablecoins the Future of Payments? New Study Raises Doubts
  • Over 90% of stablecoin activity comes from bots and traders, not everyday payments.
  • Lack of user-friendliness is a major barrier to wider adoption of stablecoins.
  • Tracking real crypto activity with blockchain data is difficult, leading to inflated figures.

A new study by Visa and Allium Labs shares the idea of stablecoins becoming widely used for everyday transactions. The study reveals that a staggering majority (over 90%) of stablecoin activity stems from bots and large-scale traders, not real people.

To measure genuine use, Visa developed a metric that excludes bot activity. This metric showed that only a tiny fraction, roughly $149 billion out of $2.2 trillion in total transactions in April, originated from real users. This finding contradicts the optimistic view of stablecoin proponents who believe these tokens will revolutionize payments.

Proponents highlight the benefits of stablecoins, such as instant settlement and minimal fees. However, experts suggest user-friendliness is a major hurdle. Additionally, tracking real crypto activity using blockchain data is inherently difficult, leading to inflated figures.

Financial technology giants like PayP…

The post Are Stablecoins the Future of Payments? New Study Raises Doubts appeared first on Coin Edition.

Read the article at CoinEdition

Read More

Bitcoin-Based Stablecoin Network Plasma Raises Deposit Cap to $1B, Gets Filled in 30 Minutes

Bitcoin-Based Stablecoin Network Plasma Raises Deposit Cap to $1B, Gets Filled in 30 Minutes

Depositors earn the right to participate in the sale based on their final units at th...
Bank of Korea Chief to Meet Bank CEOs as Stablecoin Talks Escalate

Bank of Korea Chief to Meet Bank CEOs as Stablecoin Talks Escalate

South Korea’s digital asset landscape is poised for a potential regulatory shift as B...
MainNewsAre Stableco...

Are Stablecoins the Future of Payments? New Study Raises Doubts


by CoinEdition
Are Stablecoins the Future of Payments? New Study Raises Doubts
  • Over 90% of stablecoin activity comes from bots and traders, not everyday payments.
  • Lack of user-friendliness is a major barrier to wider adoption of stablecoins.
  • Tracking real crypto activity with blockchain data is difficult, leading to inflated figures.

A new study by Visa and Allium Labs shares the idea of stablecoins becoming widely used for everyday transactions. The study reveals that a staggering majority (over 90%) of stablecoin activity stems from bots and large-scale traders, not real people.

To measure genuine use, Visa developed a metric that excludes bot activity. This metric showed that only a tiny fraction, roughly $149 billion out of $2.2 trillion in total transactions in April, originated from real users. This finding contradicts the optimistic view of stablecoin proponents who believe these tokens will revolutionize payments.

Proponents highlight the benefits of stablecoins, such as instant settlement and minimal fees. However, experts suggest user-friendliness is a major hurdle. Additionally, tracking real crypto activity using blockchain data is inherently difficult, leading to inflated figures.

Financial technology giants like PayP…

The post Are Stablecoins the Future of Payments? New Study Raises Doubts appeared first on Coin Edition.

Read the article at CoinEdition

Read More

Bitcoin-Based Stablecoin Network Plasma Raises Deposit Cap to $1B, Gets Filled in 30 Minutes

Bitcoin-Based Stablecoin Network Plasma Raises Deposit Cap to $1B, Gets Filled in 30 Minutes

Depositors earn the right to participate in the sale based on their final units at th...
Bank of Korea Chief to Meet Bank CEOs as Stablecoin Talks Escalate

Bank of Korea Chief to Meet Bank CEOs as Stablecoin Talks Escalate

South Korea’s digital asset landscape is poised for a potential regulatory shift as B...