Recent data from IntoTheBlock revealed that stablecoin’s on-chain trading volume now surpasses $846 billion. This market nevertheless remains highly active, despite a 30% drop in monthly trading and $20 billion below its highest peak at the same time.
This recent stablecoin usage in international remittance could be leveraged to cut down the large fees tied to traditional cross-border transactions.
Moreover, a recent study conducted by Coinbase has shown that Americans spend almost $12 billion per year just for transfer fees abroad due to a lack of cheaper options.
PayPal’s PyUSD, one of the major stablecoins plays a key role in this. Within the last four weeks, PyUSD has become not only one of the fastest growing but also the tenth most capitalized stablecoin with over 21% increase since the month of April. Furthermore, PayPal recently announced its expansion onto Solana blockchain from Ethereum, reinforcing its position in this particular market.
As of now, the Solana ecosystem itself boasts of over $4 billion in stablecoin market cap, with USD Coin (USDC) currently dominating over 72% of the market share according to Artemis data.
This development also follows PayPal’s announcement last month that Xoom, its money transfer service, would enable US customers to send stablecoins to approximately 160 countries without incurring any fees.
The rise in stablecoin usage can be further indicated by the fact that the stablecoin on-chain trading volume surpassed $1.3 trillion last month, exceeding the average monthly volume processed by Visa last year which recorded $32 billion. Tether USD (USDT), DAI, and USD Coin (USDC) collectively processed over $1.3 trillion in transactions in the past 30 days.
