USDT is the largest stablecoin on the market with a market capitalization of $66.38 billion.
Major stablecoin Tether (USDT) has reportedly overtaken top payment processors Visa and Mastercard in terms of payment volume.This is a recent Tweet USDT is said to have processed about $18.2 trillion in trades in 2022.
Transactions processed by Mastercard were worth $14.1 trillion last year, according to the tweet. However, VISA payments are only a third of the $7.7 trillion.
Tether USDT Leading the Rise of Stablecoins
Undoubtedly, stablecoin adoption is on the rise, and the payment volume report proves this fact. Even more impressive is the fact that 2022 has undoubtedly been a difficult year for the crypto industry as a whole. However, adoption of stablecoins continues to grow as traders try to navigate the deteriorating global economic conditions, and the value of fiat currencies in most countries is declining.
On the other hand, it might be worth mentioning that despite overall stablecoin growth, the state of Tether was somewhat stagnant at some point last year. This is due to growing concerns about competence. The concerns follow Terra’s shocking crash in May, and most recently FTX’s collapse in November. This means that in 2022 he will be surpassed by rivals such as USDC and BUSD over his USDT. Still, according to CoinMarketCap data, USDT is the largest stablecoin on the market with a market capitalization of $66.38 billion.
Is USDC Threatening?
Meanwhile, USDC may be close to dominating USDT’s stablecoin space. With a market capitalization of $56 billion, USDC enjoys overwhelming support from investors and exchanges. Tether continues to be criticized for its lack of transparency regarding its reserves.
To put the above statement into perspective, centralized crypto exchanges like Coinbase have recently encouraged users to convert their USDT holdings to USDC. Not to mention that Crypto.com recently delisted USDT for Canadian users.
Given all the uncertainty surrounding Tether, it should come as no surprise why some crypto enthusiasts aren’t buying a recent report on Tether’s trading volume in 2022. Some argue that stablecoin issuers make their reserves public, while others see the metric as a way to wash transactions. .
Mayowa is a crypto enthusiast/writer whose conversational personality is evident in his writing style. He is a strong believer in the potential of digital assets and repeats this at every opportunity. He is a reader, researcher, astute speaker, and budding entrepreneur. But outside of cryptocurrencies, Mayowa’s fanciful pastimes include discussing football and world politics.