Ethereum-Issued Stablecoins Reached Their Peak in June, with Tether Seeing 140K Active Addresses: Report

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Wed, 07/08/2020 - 17:57
Alex Dovbnya
The number of active addresses of Ethereum-based Tether version on the decline after reaching an all-time high in June
Cover image via stock.adobe.com
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The growth of Ethereum-based Tether (USDT), the most popular version of the flagship stablecoin, has hit a pause button this month, according to a new report published by blockchain research firm CoinMetrics.

USDT-ERC20 tokens saw its current peak of more than 140,000 active addresses back in June. This month, this number has so far declined below 120,000.    

image by coinmetrics.substack.com

Related
Tether (USDT) Surpasses XRP's Market Capitalization. What's Driving Its Growth?

Tether gobbles up the Ethereum network 

The ERC20 version of Tether, which was introduced in 2017, surpassed the one issued on Bitcoin's Omni layer back in October 2019.

Etherscan data shows that there are 6.035 mln tokens on the Ethereum blockchain, which is 60.91 percent of Tether’s entire circulating supply that currently stands at 9.711 mln.

Investors started turning to stablecoin in droves following the market crash in March.  
 
As reported by U.Today, the number of new USDT addresses that were created on the Ethereum blockchain was already 10 times higher than in May compared to January.

According to CoinMetrics, Tether transactions on the Ethereum network surged more than 450 percent in one year. The stablecoin has become such a dominant force on the network that it is considered to be the number one cause behind its congestion.      

USD Coin is still growing 

Of course, Tether dwarfs any other ERC20 asset, but other stablecoins have also had quite a wild ride.

Both Paxos (PAX) and USD Coin (USDC) reached their respective peaks of active addresses in June, but the latter is not showing signs of slowing down.

As reported by U.Today, its circulating supply crossed the $1 bln mark on the first day of July.

About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at alex.dovbnya@u.today.


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