Tether leads stablecoin trading volumes on controlled exchanges despite a fall in market capitalization
Stablecoins have not been immune to the recent cryptocurrency market crisis, but its primary assets are still thriving, with Tether (USDT) not only ranking third among all cryptocurrencies but also topping centralized exchanges in terms of stablecoin trading volume.
According to the most recent statistics provided by the cryptocurrency analytics site CoinMetrics on October 18, Tether’s proportion of trading volumes on controlled exchange (CEX) markets remains the largest among all stablecoins.
Specifically, USDT accounts for over 70% of all trading volume recorded by exchanges, despite this percentage being lower than it was at the beginning of the year. Binance USD (BUSD) is in second position and its spot volume share is growing as a result of its increased usage as a quotation asset on Binance.
Following USDT and BUSD are USD Coin (USDC) and Dai (DAI), with the former seeing very limited use, especially in light of Binance’s decision to deprecate USDC-quoted spot pairings and convert all stablecoins into BUSD.
Binance’s activities are also responsible for USDC’s market cap dominance on Ethereum (ETH) dropping to 39% in October, after reaching a high of 44% in early July, according to statistics provided by Messari.
The crypto market intelligence platform emphasised that this important move has not resulted in an increase of more than 5 percent in BUSD’s market share on the Ethereum network.
Tether has maintained its status as the biggest stablecoin by market capitalization across all blockchains. However, it has “suffered significantly during the summer and has yet to recover,” Messari tweeted on October 16. It is followed by USDC, BUSD, and DAI, respectively, according to this indicator.
According to the CoinMetrics research, the overall market capitalization of stablecoins has decreased in 2022, in keeping with the feeling of the whole cryptocurrency market, but it is already at least $135 billion.
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