Average daily transfer value for Tether exceeded that for Bitcoin and PayPal in August
As reported by CoinMetrics, the average daily transfer value of Tether has surpassed Bitcoin and PayPal. Specifically, Tether’s 7-day average adjusted transfer value has reached more than $ 3.55 billion as of August 20th. This is approximately 20% higher than Bitcoin, reported being $ 2.94. Billion.
Tether and Bitcoin transfer value | Source: CoinMetrics
The average daily transfer value of Tether has exceeded the value of Bitcoin
After six months of rapid growth, the average daily transfer value of USDT has finally surpassed Bitcoin as USDT continues to capture more and more market share in the on-chain transfer market. Arguably, the recent increase in the use of USDT is due to DeFi and swap token protocols like Uniswap.
According to PayPal’s Q2 report, economist John Paul Koning said that the average daily payments for PayPal – the online payments giant – is also lower than Tether at $ 2.94 billion.
Tether is now doing $3.55 billion in daily transfer value: https://t.co/CpW34wL3jA via @coinmetrics
Not bad. In Q2 2020, @PayPal did just $2.94 billion per day: https://t.co/kD3Bt9BEYF pic.twitter.com/uxaagM9pXU
— John Paul Koning (@jp_koning) August 25, 2020
However, the transactions that are positively surveyed on PayPal and largely anonymous USDT transactions may not provide a fair comparison.
The world’s most popular stable copper has also grown exponentially this year in supply, now surpassing $ 13 billion as reported by Tether Transparency. Since the beginning of 2020, USDT supply has increased by 225% and shows little signs of slowing down.
Bitfinex CTO, Paolo Ardoino, is confident that the supply can reach $ 20 billion this year:
2020, the year of Tether.
The road to 20B+ and beyond. https://t.co/wiacp4RkeB— Paolo Ardoino (@paoloardoino) August 24, 2020
Tether argues that growth is due to the current economic environment, and people are turning their backs on classic payment methods.
A spokesman from Tether said:
“Amid these uncertain and challenging times, the utility, security, and viability of digital currencies have come to the forefront. People are looking for alternatives to antiquated banking and payment systems.”
About 2/3 of all USDT is currently used on Ethereum, which has slowed the network and made it more expensive to use. According to Gas Station, Tether is the second-highest source of network fees with a gas usage of $ 8.6 million over the past thirty days.
The increasing fees for Ethereum have prompted USDT to move some of its supplies to faster networks like Layer 2 solution OMG Network and EOS and Tron blockchains.
Read more:
- Tether Treasury Has Minted Another Mammoth-Sized USDT Lump – 120,000,000 USDT
- The Tron Blockchain Loses Another 500 Million USDT After A Chain Swap With Ethereum