A recent report by Mati Greenspan, eToro’s Senior Market Analyst (photo), has pointed out the dominance of the stablecoin in the crypto market, and how they are “eating the market share of crypto volumes.”
Especially stablecoins that are supported by USD (PAX, TUSD, USDC) enjoy greater adoption and dominate trading volumes in the Bitcoin denominated pairs.
As per the report, there have been more than 40 million inflows for PAX and USDC around late April. Tether, on the other hand, is drifting from Omni Blockchain to other blockchains.
However, stablecoins not pegged to the USD, enjoy a healthy growth as well. Their popularity originates in newer ways of international remittance. More growth is expected in the stablecoin industry based on the initiatives from companies such as Facebook, Samsung, Telegram etc. These companies a huge user base and therefore, there is a huge scope of great exposure, that may result in the growth of the digital asset.
Since May 2018 stablecoins have seen a growth from 36 percent of volume to more than 60 percent on Binance.