For the last month Bitcoin (BTC) price has traded in a tight range and trading volume has been relatively flat. Meanwhile, several tokens on the Ethereum network have been topping the price charts, especially the Decentralized Finance (DeFi) tokens.
New data from Messari shows that Ethereum has just surpassed Bitcoin as the network that settles the most value per day. This means that the dollar value on the transactions of both Ether (ETH) and its tokens is now higher than that of Bitcoin.
Ethereum vs Bitcoin daily settlement value. Source: Messari
While the DeFi sector has been gaining popularity, stablecoin transactions have been responsible for most of this volume, having settled over $508 billion in transactions over the course of 2020. This figure is nearly double the $253 billion settled in 2019.
Tether (USDT) is the main stablecoin responsible for the volume and according to Messari, it could possibly surpass Bitcoin as the most transacted cryptocurrency in the market.
USDT vs Bitcoin daily transaction value. Source: Messari
Bitcoin offers colored coins through protocols like Counterparty and Omni, but these assets pale in comparison to the smart contract capabilities of the Ethereum network, which continue to be showcased through the novel possibilities of DeFi. Coupled with lower fees and faster transaction times, Ethereum has become the chain of choice for centralized and decentralized stablecoins alike.
While USDT was first issued on the Bitcoin blockchain, only 13.2% of its supply currently resides on BTC, while the Ethereum chain holds 59.8% of the USDT supply. As most of the USDT balance is held on Ethereum, USDT is also the biggest spender of gas in the network, according to data from ETH Gas Station.
Led by USDT, the collective stablecoin market capitalization grew from $2.4 billion to around $8 billion in Q1 alone. Another $3.8 billion was added in the Q2, making the current figure over $12 billion, and approximately $9.18 billion belongs to Tether. Tether has also surpassed Ripple (XRP) as the third largest cryptocurrency.
Stablecoin collective market capitalization. Source: Messari
While inter-exchange settlement is the most popular use for stablecoins, DeFi has also been a considerable force in the growing activity seen on the Ethereum network. Because of their peg to fiat currencies, stablecoins are quite popular among DeFi lending protocols which have been gaining traction throughout 2020.
The platforms have seen noticeable surges in the amount of funds locked and in Q2 the figure surged above $2 billion. Compound alone achieved a major milestone with over $1 billion assets borrowed in total.
Stablecoins and growth within the DeFi sector are likely to continue driving transaction volume and settlement value on the Ethereum network but will the network be able to support this growth?
Stablecoins already account for more than 70% of the total daily value settled and if the Ethereum network continues to have unresolved congestion and scalability problems there could be real problems within the DeFi platforms.
For the time being, its unclear whether or not the Ethereum Network will be able to deal with the rapidly increasing stablecoin and DeFi activity, especially as corporations set their sights on the sector.
View original post here:
Ethereum Flippens Bitcoin to Become the Most Used Blockchain - Cointelegraph
- Drake Just Lost $500,000 in Bitcoin Betting on the NBA Finals - Decrypt - June 18th, 2024
- Bitcoin Plunges to $65K, Altcoins Bleed 10%-20% as Week Turns Ugly - CoinDesk - June 18th, 2024
- Should You Buy Bitcoin While It's Less Than $70,000? - The Motley Fool - June 18th, 2024
- First Bitcoin ETF to List on Australia's Bourse in Global Wave - Bloomberg - June 18th, 2024
- Bitcoin Move on the Horizon Following Rare Quiet Period, According to On-Chain Analyst - The Daily Hodl - June 18th, 2024
- $66K BTC price now 'critical' 5 things to know in Bitcoin this week - Cointelegraph - June 18th, 2024
- Breaking Bitcoin with Casey Rodarmor - What Bitcoin Did - June 18th, 2024
- Why The U.S. Should Focus On Bitcoin Mining Policy - Forbes - June 18th, 2024
- Bitcoin, Dogecoin, and Ethereum Volatility Drive $290 Million in Liquidations - Decrypt - June 18th, 2024
- Trump says he wants all remaining Bitcoin to be made in the US - Reuters - June 18th, 2024
- T-Mobile owner Deutsche Telekom will soon mine Bitcoin in addition to running nodes - The Block - June 18th, 2024
- The Bitcoin Halving: Everything you need to know - Coinbase - June 18th, 2024
- Crypto-Breakthrough Bill Could See Bitcoin, Ethereum, and BlockDAG Network Prices Skyrocket Very Soon - Yahoo Finance - June 18th, 2024
- Ethereum poised to 50% surge this year against Bitcoin Fractal analysis - Cointelegraph - June 18th, 2024
- Bitcoin nears $65,000 as the selling pressure continues - ForexLive - June 18th, 2024
- Bitcoin Price Falls Below $66,000, Bond Yields Weigh. Ether Awaits Crypto ETFs. - Barron's - June 18th, 2024
- Donald Trump wants US to rule Bitcoin mining industry - Cointelegraph - June 18th, 2024
- How This Bitcoin Developer Lost 25,000 BTC - BeInCrypto - June 18th, 2024
- MicroStrategy Increases Convertible Note Offering by 40% to $700M in Bitcoin Splurge - CoinDesk - June 18th, 2024
- Bitcoin Mining Cost At $86,700: Price To Surpass This Soon? - NewsBTC - June 18th, 2024
- 3 reasons why Bitcoin analysts believe BTC price recovery is overdue - Cointelegraph - June 18th, 2024
- Analysts Predict BTC Hitting $200,000 Next Year and $1 Million by 2033 'We Believe Bitcoin Is in a New Bull Cycle ... - Bitcoin.com News - June 18th, 2024
- Leak Reveals Joe Biden Could Be Planning A Crypto Coup Amid Bitcoin, Ethereum And XRP Price Swings - Forbes - June 18th, 2024
- Drake on Brink of $1M Bitcoin Loss as NHL and NBA Bets Sour - CoinDesk - June 18th, 2024
- Bitcoin, Binance, Ethereum, Solana, and Ripple: The Biggest Crypto News of the Past Week - Cointribune EN - June 18th, 2024
- Bitcoin price pressured by whales, long-term holders, and miners: Bitfinex - Crypto Briefing - June 18th, 2024
- Michael Saylor Reacts to Bitcoin Dropping Below $67,000 by Sharing Crucial Advice - U.Today - June 18th, 2024
- Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Bitcoin retesting its major resistance level - FXStreet - June 18th, 2024
- Donald Trump Speaks On Bitcoin Mining, Wants 'All The Remaining Bitcoin To Be Made In The USA' - Benzinga - June 18th, 2024
- Almost $500M in Liquidations as Bitcoin (BTC) Dumped to $64K and Alts Bled Out - CryptoPotato - June 18th, 2024
- Top 3 Price Prediction Bitcoin, Ethereum, Ripple: BTC likely to take markets on a rollercoaster - FXStreet - June 10th, 2024
- Bitcoin in the red to end the week after better-than-expected May jobs report - CNBC - June 10th, 2024
- Bitcoin Could Lift to $83K in the Coming Days, Analyst Says - CoinDesk - June 10th, 2024
- Best Places to Buy Bitcoin in 2024 - The Motley Fool - June 10th, 2024
- Bitcoin to reach $150,000 if Trump wins presidency: Standard Chartered - CNBC - June 10th, 2024
- Report: Speculation Returns as Bitcoin Market Shows Signs of Recovery Market Updates Bitcoin News - Bitcoin.com News - June 10th, 2024
- Bitcoin And The Future Of The Lightning Network - Forbes - June 10th, 2024
- Bitcoin Braced To Go 'Parabolic' After 'Amazing' 2017 Price Breakout Repeat - Forbes - June 10th, 2024
- Is Bitcoin On Track to Make a Big Move and Hit $100,000 in 2024? - The Motley Fool - June 10th, 2024
- Bitcoin network transaction fees temporarily soar to nearly $52 - Cointelegraph - June 10th, 2024
- XRP Reached Multi-Month Low, Solana (SOL) on Strongest Support, Bitcoin (BTC) Price Drop Is Better Than You Think - U.Today - June 10th, 2024
- Bitcoin Dips Below $70K, Reaches $68450 Low, $86M in BTC Longs Liquidated Markets and Prices Bitcoin News - Bitcoin.com News - June 10th, 2024
- Demand Growth for Bitcoin Surges: What Does This Mean? - CryptoPotato - June 10th, 2024
- First Mover Americas: Bitcoin Futures Positions Top Record $37B as Analysts Predict Bitcoin Surge to $83K - CoinDesk - June 10th, 2024
- Crypto for Advisors: Layer 2s and the Evolution of Bitcoin - CoinDesk - June 10th, 2024
- Bitcoin Wyckoff pattern eyes $85K, but BTC price must close the week above this level first - Cointelegraph - June 10th, 2024
- Visualizing the 15 Most Valuable Bitcoin Addresses - Visual Capitalist - June 10th, 2024
- First Mover Americas: Bitcoin Fluctuates Around $71K, Consolidating This Week's Rally - CoinDesk - June 10th, 2024
- Bitcoin, Ethereum, and XRP Price Prediction: Will Bulls Make A Comeback This Week? - Coinpedia Fintech News - June 10th, 2024
- Bitcoin volatility hovering within 6% of record low levels - Cointelegraph - June 10th, 2024
- Why Did the Bitcoin Price Crash Below $70K and is the Bleeding Over? (Bitcoin Price Analysis) - CryptoPotato - June 10th, 2024
- Bitcoin Halving: How It Works And Why It Matters - Forbes - June 10th, 2024
- Mexican Billionaire Says to Buy Bitcoin, Musk vs. Nakamoto, and More Week in Review The Weekly Bitcoin News - Bitcoin.com News - June 10th, 2024
- Bitcoin: Etfs Accumulate 19 Consecutive Days Of Inflows! Ibit Leading The Way! - Cointribune EN - June 10th, 2024
- From AI to Bitcoin Mining: Heres a Timeline of Tethers Latest Investments - CryptoPotato - June 10th, 2024
- Forget Bitcoin: 3 Cryptocurrencies to Consider Instead - The Motley Fool - June 10th, 2024
- Key Reason Why Bitcoin Price Has Not Topped $70K Named by Top Trader - U.Today - June 10th, 2024
- Standard Chartered Sees Bitcoin Soaring to $150,000 by Year-End If Trump Wins Presidency - Yahoo Finance - June 10th, 2024
- Peter Brandt Predicts Bitcoin Bull Market With BTC Potentially Reaching $150000 Markets and Prices Bitcoin News - Bitcoin.com News - June 10th, 2024
- Polymarket Bets Show Growing Confidence in Trump's Election Victory Over Biden Bitcoin News - Bitcoin.com News - June 10th, 2024
- Bitcoin Tops $65,000 as Fund Inflows, Upcoming Halving Event Fuel RallyKey Level to Watch - Investopedia - March 5th, 2024
- Coinbase Stock Jumps. A Bitcoin, Crypto Frenzy Is Fueling Its Rally. - Barron's - March 5th, 2024
- Bitcoin Tops $67,000 on ETF-Led Demand Even With GBTC Outflows - Yahoo Finance - March 5th, 2024
- Bitcoin Has $70,000 In Its Sights: Stocks to Watch - Yahoo Finance - March 5th, 2024
- Are The Bitcoin ETFs Eating Golds Lunch? - Forbes - March 5th, 2024
- BlackRock looking to include Bitcoin exposure in other funds - CryptoSlate - March 5th, 2024
- Bitcoin Price Explained: Why the Crypto Is Surging Back to All-Time Highs - Markets Insider - March 5th, 2024
- Bitcoin ETF snapshot: Record volumes lead to second-best weekly inflows - Blockworks - March 5th, 2024
- MicroStrategy to Offer $600 Million in Convertible Notes to Buy More Bitcoin - Bloomberg - March 5th, 2024
- US Government Continues Bitcoin Seizures, Controls Nearly 1% of Circulating Supply - Bitcoin Magazine - March 5th, 2024
- Bitcoin value climbs above $65000, one step from all-time record - Euronews - March 5th, 2024
- What's driving the bitcoin surge? Experts weigh in. - ABC News - March 5th, 2024
- Bitwise CIO Says Bitcoin Could Top $200K This Year Citing 'Too Much Demand, Not Enough Supply' Markets and ... - Bitcoin.com News - March 5th, 2024
- MicroStrategy will use proceeds from convertible note sale to add to bitcoin stash - Blockworks - March 5th, 2024
- Is the Bitcoin halving the right time to invest in BTC? - Cointelegraph - March 5th, 2024
- These multi-billion-dollar banks are joining the bitcoin fray as price breaks $67000 - TheStreet - March 5th, 2024
- An Interesting (and Cheaper) Way to Play Bitcoin - RealMoney - March 5th, 2024
- Restricting access to growing bitcoin ETFs becoming 'hard to justify' - Blockworks - March 5th, 2024
- Bitcoin (BTC) Price To Hit New ATH in Next Few Hours, What To Expect Next? - Coinpedia Fintech News - March 5th, 2024
- Its Happening!Huge Mystery Whale And Sudden $65,000 Bitcoin Price Surge Fuels Secret Sovereign Bid And Tech Billionaire Predictions - Forbes - March 5th, 2024