Top Highlights

• Authored by Castle Island Ventures and Brevan Howard Digital, the report outlined how stablecoins adoption is rising irrespective of crypto’s market cycles, and gaining adoption as a monetary instrument for reasons unrelated to digital asset trading and speculation.
• For example, data from Visa and Allium Labs shows that stablecoin volumes reached $461 billion in August alone (adjusted to weed out inorganic activity from blockchain bots). That’s the third-highest month on record, surpassing any point from the 2021 bull market, despite crypto’s market slump over the past two quarters.
• As the authors note, a whopping 98.97% of stablecoins in circulation are currently backed by U.S. dollars, making USD even more dominant in the stablecoin sector than other areas of foreign exchange dominance. Chief among them is Tether (USDT), which alone accounts for 69% of the $170 billion stablecoin market, according to DeFi Llama.
• The report included results from a survey of 2,541 individuals across Nigeria, India, Indonesia, Turkey, and Brazil—all countries where traditional dollar banking services are limited.
• The results found that 69% of crypto users surveyed had converted their local currency to stables.

Domain