The trading volume of tether (USDT) and USDC skyrocketed more than 40% in the third quarter of this year, points Crypto Rank platform report cited by ZyCrypto. This increase in trading of the two largest stablecoins in market value concerns business on centralized exchanges.
While tether’s trading volume grew 43 percent from US$ 440 billion to US$ 628 billion, the USDC’s advanced 46 percent, from US$ 6.76 billion to US$ 9.87 billion.
The stablecoins have attracted investors’ attention as they protect capital from crypto market fluctuations, allowing the investor to “sleep” in a fiat currency. In this movement, the tether surpassed the ripple in market capitalization, despite the asset’s controversies. Besides, Tether trading in August exceeded bitcoin’s by 49%. But that doesn’t mean bitcoin has lost its lead in market value. In this area, tether is the third cryptocurrency with the highest market value.
Increased trading of tether and USDC comes after fall
The protection of stablecoins is because they have a ballast (either in national currency or even a digital asset). This ballast reduces the volatility of these currencies. Also, with stablecoins in the wallet, the investor can act faster at the time of purchase, thus taking advantage of moments of opportunity in the market.
Despite this, the trajectory of USDT and tether is not only upward. ZyCrypto recalls that the two stablecoins were down 15% (tether) and 3.5% (USDC) in the second quarter.
Currently, tether’s market value is US$ 16.34 billion, while the USDC’s is US$ 2.8 billion, according to CoinMarketCap data on the day this report was written.
However, USDC figures could gain a new boost in 2021. That’s because, according to ZyCrypto, the USDC should be available on the Stellar blockchain in the first quarter of 2021. There will be more places to trade the stablecoin, which should further raise the USDC’s trading numbers.
