- The layer-2 network of Coinbase Base witnessed the largest effect as bots moved it ahead of Ethereum in raw numbers, as per the survey report.
- Adjusted stablecoin transfer volume was multiplied by two in 2024. However, it is still way far from the growth of bot-driven activity, as per CEX(dot)IO.
- Tether is still at the leading position in terms of stablecoin for organic transactions, estimated for more than 68% of adjusted volume.
A crypto exchange CEX(dot)IO released a new survey that quoted Allium’s data and it mentions that automated trading bots were responsible for 70% of stablecoin transaction volume last year, based on an analysis of blockchain activity over Ethereum, Base, and Solana.
According to the exchange, on average, 77% of last year’s total stablecoin transaction volume slid into the unstable category, mainly driven by bot transactions.
The bot activity witnessed a fourfold boost in contrast to 2023, growing its share from 80% to 90% in the unadjusted category. The exchange witnessed this refined figure means that around 70% of stablecoin transactions volume last year was associated with bot transfers.
USDC leading unadjusted category
CEX(dot)IO also reveals that USDC was leading the unadjusted category, making up more than 65% of the volume. This highlights the fact that the majority of USDC’s transactions activity was directed by bots.
The layer-2 network of Coinbase’s Base witnessed the largest effect as bots moved it ahead of Ethereum in raw numbers, as per the survey report. CEX(dot)IO also mentioned that Networks like Solana and Base, where USDC supply is leading, witnessed unadjusted transactions showing more than 98% of stablecoin activity as of the last month of the last year.
Because of the bot activity, the Base also excelled at Ethereum in overall stablecoin transaction volume in the fourth quarter of last year. The study also revealed that excluding bot activity, the stablecoin transaction landscape would be entirely different.
Allegations on Tether and its denial
Adjusted stablecoin transfer volume was multiplied by two in 2024. However, it is still way far from the growth of bot-driven activity, as per CEX(dot)IO. Tether is still at the leading position in terms of stablecoin for organic transactions, estimated for more than 68% of adjusted volume.
However, the USDT stablecoin of Tether along with its reserves has been under investigation for years, and lawmakers have raised concerns regarding the lack of the company’s professional audits.
The main allegation says that without proper audits, Tether could be hiding over $19 billion in illegal activity. Tether as well as its chief executive officer, Paolo Ardoino have explicitly denied the allegations, saying that there is no scrutiny going on.
PYUSD of PayPal exhibited the highest adoption growth, making the share triple by adjusted transactions, but still showed less than 2% of organic transaction activity.
