A historic turning point has been recorded in the world of digital finance: for the first time, stablecoin have surpassed Visa in annualized transaction volume.
This event marks a significant turning point for the entire cryptocurrency ecosystem and opens up new scenarios on the evolution of the payment system.
A record overtake by stablecoin on Visa
According to a report compiled by Bitwise, during 2024 the transaction volume through stablecoins reached the impressive figure of nearly 14 trillion dollars, surpassing the 13 trillion recorded by Visa.
Just a year ago, the stablecoins stopped at 7,000 billion, while Visa confirmed its leadership at 13,000 billion.
The fact that the volume linked to stablecoins has doubled in twelve months represents an important indicator of the growing trust from users towards this financial instrument.
And it highlights a possible structural change in global payment systems. Stablecoins are cryptocurrencies pegged to real reserves, such as the United States dollar or gold, with the aim of maintaining a stable value over time.
This characteristic distinguishes them from volatile cryptocurrencies like Bitcoin and Ethereum. The two main projects in the sector are currently Tether (USDT), with a capitalization of 148 billion dollars, and USD Coin (USDC), with 59 billion.
It is precisely this stability, combined with the speed and low cost of transactions, that has made stablecoins an ideal tool for those who need to make money transfers in a secure and immediate way, especially at an international level.
The most fertile ground for the development of stablecoins seems to be that of cross-border payments, a sector with an overall value of about 44 trillion dollars.
According to the CEO of Bitwise, Matt Hougan, in the next five years stablecoins are set to dominate this market, reducing costs and improving efficiency compared to traditional channels, currently dominated by players like Visa, SWIFT, and banking counterparts.
The growth of stablecoins has not gone unnoticed: industry giants like PayPal, Fidelity, Stripe, and even traditional banks like Bank of America have shown a concrete interest in launching or supporting these stable cryptocurrencies.
A clear signal towards potential mass adoption.
Legislation on the way: a decisive push?
Another key element is regulation. Currently, two bills are under discussion in the United States, one in the Senate and one in the House of Representatives. These could be approved by July 2024.
Their approval would represent a historic breakthrough.
According to the Bitwise report, a clear regulatory framework would further enhance trust in the sector, stimulating the entry of new institutional players and leading stablecoins to an increasingly mainstream use.
Even the president of the Federal Reserve, Jerome Powell, spoke favorably. Specifically, stating that appropriate legislation on stablecoins would be a “good idea,” especially in a context of large-scale adoption.
The expansion of stablecoins will not remain isolated. According to Bitwise, this growth will also impact adjacent sectors, with benefits for the entire cryptocurrency world, particularly for DeFi (decentralized finance).
As of today, many decentralized applications use stablecoins as means of exchange or collateral in transactions. Their wider adoption could foster the development of an entirely new generation of digital financial services, accessible, rapid, and transparent.
From the niche to the new normal?
The overtaking of stablecoins over Visa is not just a numerical fact. It is the signal that the entire payment system is undergoing a transition, moving from traditional infrastructures to more agile digital solutions.
The ongoing evolution shows that trust in decentralized systems, once viewed with suspicion, is on the rise. Stablecoins, thanks to their balance between technological innovation and value guarantee, are gaining approval among individuals, businesses, and institutions.
In a world that is increasingly globalized and interconnected, where the speed of execution and cost reduction make the difference, digital money could soon become the new normal.
The year 2024 could be remembered as the year of the consecration of stablecoins. The overtaking of the giant Visa is tangible proof of this, and the momentum does not seem destined to slow down.
With a mix of growing adoption, regulatory support, and institutional interest, stablecoins are increasingly positioning themselves to represent the backbone of the new global financial infrastructure.
The future of finance, today, already speaks a stable language.
