Rise of stablecoins dominates the crypto market
According to the analysis report published by the research firm Diar earlier this week, the number of stablecoins in use has grown significantly over the course of the recent months. As one of the factors influencing this, Diar points out the growth of on-chain transactions.
The most popular and widely-used stablecoins are USDC, True USD (TUSD), Paxos (PAX) and the Gemini dollar (GUSD), which have broken the $5 billion mark in on-chain transactions during the past three months, the report notes. The numbers per each stablecoin use are also huge. For instance, the Diar’s report sites that Paxos alone recorded over $1.8 billion on the Ethereum (ETH) blockchain within the course of September, October, and November.
Following the market trend, cryptocurrency exchanges are also adding more stablecoins to their marketplaces. For instance, recently Bitfinex along with its ‘sister exchange’ Ethfinex started supporting USDC, TUSD, PAX and GUSD.
More stablecoins are projected to come into the market shortly. Chinese crypto investor Li Xiaolai has announced its brand new stablecoin-centered project in collaboration with the blockchain fund Grandshores Technology based in Hong Kong. According to Xiaolai, the new protocol will
“represent a stable digital currency system with a focus on global mainstream currencies.”