According to a recent tweet by Tеther, leading stablecoin Tеther (USDT) has outranked top payment processors such as Visa and Mastercard in terms of settlement volume, processing approximately $18.2 trillion in transactions in 2022. In turn, Mastercard announced in its tweet that the company processed fewer transactions that were worth $14.1 trillion in the last year. However, ranked third VISA had a settlement volume of $7.7 trillion.
Tether USDT Amid the Rise of Stablecoins
Despite of the fact that 2022 was a very tough year for the crypto industry in general, it is really hard to deny that there is a growing adoption of stablecoins and the settlement volume report confirms it. Surprisingly, even the worsening global economic conditions that devalued most national currencies did not stop growth of stablecoins’ adoption, although Tether’s value was stagnant at some point of the last year.
The most likely reason of this is crypto community’s concerns over its reserves and solvency amid Terra’s terrible crash in May and the FTX collapse in November. Although USDC and BUSD outperformed USDT in 2022, USDT remains the biggest stablecoin in the market with a market capitalization of $66.38 billion, according to CoinMarketCap data.
Is USDC a Threatening Rival?
With a market capitalization of $56 billion, USDC receives a huge support from investors and exchanges due to the fact that Tether continues to receive criticism for its lack of transparency when it comes to its reserves. Centralized crypto exchange Coinbase recently advised its users to convert their USDT holdings into USDC. In addition of that, Crypto.com delisted USDT for its Canadian users.
With all these uncertainties surrounding Tеther in mind, it is not surprising why some crypto enthusiasts still don’t believe the report on Tеther’s trading volume in 2022. That’s why some are still demanding that the Tеther makes its reserves public, while others relate the metrics to wash trading.
- Tеther (USDT) has outranked top payment processors such as Visa and Mastercard in terms of settlement volume, processing approximately $18.2 trillion in transactions in 2022
- USDT is still the biggest stablecoin in the market
- Tеther continues to receive criticism for its lack of transparency when it comes to its reserves.
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