Currencies flounder – In parallel with the rise in the price of many cryptocurrencies, stablecoins are still very popular. These could well entirely replace fiat currencies in the crypto ecosystem.
$ 6 billion off the all-time high
Since the start of the year, and in parallel with the boom in decentralized finance, the volume of stablecoins has been steadily increasing .
In November alone, $ 139.21 billion was traded through Bitcoin Machine. A figure barely lower than the record set in September 2020 with 145 billion dollars, according to data from The Block Research .
Evolution of the volume of stablecoins since 2017 – Source: The Block
For once, Tether continues to lead the dance, representing 77% of the market share . It is followed by the USDC and Binance USD at 16.8 % and 4.5% respectively .
Tether to replace USD?
Since the launch of stablecoins, they have become an essential tool for crypto traders. They actually allow you to trade calmly, without ever having to switch to fiat money.
Thus, since 2017, the share of BTC / USD exchanges has almost been halved , while next, the share of BTC / USDT exchanges have exploded, according to data from Kaiko .
This trend makes sense when you consider that many countries tax conversions into fiat currencies. This allowed the USDT to become just as liquid a currency as the dollar in the crypto markets.