Stablecoins Poised to Surpass Visa in Payment Volume, Despite Debate
Stablecoins could surpass Visa in total payment volume this quarter, according to research firm Sacra. Sacra argues that stablecoins have a strong advantage in cross-border money movement, offering convenience, speed, and lower costs compared to traditional payment methods. They also claim that major banks are working on integrating stablecoins into their payment systems. However, Visa's head of crypto, Cuy Sheffield, disagrees, stating that stablecoin data is noisy and on-chain transactions may not resemble traditional settlement. Visa recently launched a dashboard that suggests that a significant portion of stablecoin transactions are not made by genuine users, with bot activity and automated transactions accounting for the majority. Despite the debate, stablecoin transaction volume has been steadily increasing, with Tether and USD Coin being the most popular options. Other payment giants like PayPal and Stripe are also entering the stablecoin market. The current market capitalization of stablecoins is around $161 billion, with a daily trading volume of $37 billion.
Sources :
- CoinTelegraph