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What Does Visa-Level Volume Mean for Stablecoins?

Author: Content Editor
Recent data shows that stablecoin transaction volumes, led by popular coins like Tether and USD Coin, have reached over $1.3 trillion in a 30-day period, rivaling the transaction volumes of Visa. This highlights the rapid growth of stablecoins as a transactional medium, particularly in areas with limited traditional banking access. However, it is important to note that a significant portion of stablecoin transactions are driven by bots, algorithms, and smart contracts, rather than human users. In contrast, Visa's transaction volume comes primarily from consumer spending and direct transactions between individuals and businesses. While stablecoins offer advantages such as low fees and fast transfers, the reliance on automation raises regulatory concerns. For stablecoins to become mainstream, their transaction activity needs to shift towards consumer-driven transactions.

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