Tether Beats Visa and Mastercard

The largest stablecoin issuer in the cryptocurrency universe Tetherannounced the transfer volume data of 2022 on its Twitter account the other day.

2022 Settlement Volume pic.twitter.com/k87FrknKr4

— Tether (@Tether_to) January 14, 2023

According to the post from the Tether official Twitter account, the dollar-indexed stablecoin USDT A total of 18.2 trillion dollars of money transfers took place in the network during 2022. With this figure, the stablecoin issuer outperformed traditional payment networks Visa and Mastercard, which mediated $14.1 and $7.7 trillion in transfers, respectively, throughout the year.

Why Tether Volume Might Have Rise

The enormous rise in USDT transaction volume is the most important indicator of the rapid adoption of cryptocurrencies around the world. While developing countries grappled with the inflation problem due to the post-pandemic conditions, citizens flocked to the American dollar via Tether.

With the escape to the dollar, the dollar index DXY reached 116 in September from 94 in the first days of 2022. The index declined to 102 as inflation started to decline in line with the target in the USA.

Tether’s Rivals Get Stronger

Although Tether, the leader of the stablecoin industry, recorded a significant increase in money transfer, it lost blood against its competitors in the market.

During the year, the market capitalization of BUSD and USDC increased, while USDT fell from $83 billion to $65.3 billion.