Stablecoin Transactions Soar to $72 Billion Annually, Driven by Business and Remittance Adoption
A groundbreaking report conducted by Artemis, Castle Island Ventures, and Dragonfly reveals a dramatic expansion in stablecoin utilization, fundamentally altering the landscape of international finance, encompassing corporate transactions, money transfers, and everyday consumer spending. This detailed analysis underscores a pivotal shift towards digital currencies for conventional financial activities.
The research indicates that between January 2023 and February 2025, over $94.2 billion in stablecoin transactions were completed, with current annual volumes now exceeding $72.3 billion. This substantial increase demonstrates stablecoins' burgeoning utility beyond mere cryptocurrency trading. In the last half-decade, the collective stablecoin reserves have surged from less than $10 billion to an impressive $239 billion, with forecasts suggesting a potential rise to $2 trillion by 2028. Daily, more than 10 million transactions are processed across over 150 million distinct blockchain wallets, illustrating the ecosystem's vast scale and increasing maturity.
The study pinpoints three primary catalysts for this burgeoning stablecoin transaction volume. Business-to-business payments account for an estimated $36 billion annually, establishing stablecoins as a preferred method for international corporate settlements due to their superior speed and cost-efficiency compared to traditional banking systems. Peer-to-peer transfers contribute $18 billion each year, offering a vital financial conduit in regions where conventional remittance services are either prohibitively expensive or sluggish, especially benefiting underserved populations. Furthermore, card-linked payments, amounting to $13.2 billion annually, showcase stablecoins' seamless integration with major payment networks like Visa and Mastercard, enabling consumers to use them for routine purchases. Regionally, the United States, Singapore, Hong Kong, Japan, and the United Kingdom lead in stablecoin transfers, with significant cross-border activity observed between Singapore and China, as well as various U.S.-linked jurisdictions. USDT on Tron is particularly prevalent in Africa, notably Nigeria and Kenya, while Latin America predominantly uses USDT on Tron, with Argentina favoring USDC on Ethereum. India distinguishes itself through its embrace of Polygon and USDC, propelled by an active developer community and innovative on-chain financial instruments. The underlying technological framework also highlights Tron's dominance in transaction volume due to its low fees, followed by Ethereum, BSC, and Polygon. Ethereum remains the preferred choice for large-value B2B transfers, averaging $219,000 per transaction, despite Tron's efficiency.
Looking ahead, the trajectory for stablecoins points towards sustained growth, buoyed by expanding institutional engagement from entities such as Visa, Stripe, and even the U.S. Treasury, which are actively developing or backing stablecoin infrastructure. The advent of prefunding solutions, exemplified by services like Arf and Mansa, is streamlining cross-border settlements by providing immediate liquidity. Coupled with the anticipated establishment of clearer regulatory frameworks across key jurisdictions, these developments are set to unlock wider integration within the fintech sector, solidifying stablecoins' role as an indispensable component of the global financial system. This evolution not only signifies technological advancement but also represents a move towards a more inclusive, efficient, and interconnected global economy, demonstrating how innovation can foster progress and improve lives worldwide.