According to data from DeFiLlamathe amount of stablecoins being held on Ethereum (ETH) layer-2 protocols has increased by 5% in 7 days, surpassing the $2 billion threshold.
Arbitrum records 10 million stablecoins pouring in every day
In February 2023, Arbitrum’s inflows had an impressive increase when reaching a total of $300 million in stablecoins, equivalent to an average of $10 million per day.
The stablecoin cash flow on the Ethereum layer-2 solution continued to grow in the early days of March. On March 5, Arbitrum saw the amount of stablecoins transferred into its ecosystem reach more than 16.5 million USD, increasing the amount of money. poured into 32.5 million USD after only 6 days.
According to DeFiLlama, USDC is the most popular stablecoin on Arbitrum with a supply of nearly $970 million, accounting for 67% of all stablecoins. The two names behind, USDT and DAI, were completely overwhelmed when combined, they still contributed only 395 million USD.
This increase is in line with trading volume on Arbitrum. In the last month, the layer-2 network confirmed set a record for the number of transactions completed in 24 hours at 690,000 transactions on February 17, raising the weekly volume to USD 2.62 billion. This is also the first time that Arbitrum has surpassed the main blockchain Ethereum in terms of 24h transactions..
Arbitrum is also one of the most popular networks for decentralized exchanges (DEXs). At this metric, the total trading volume of DEXs on Arbitrum over the past 24 hours is $302 million, surpassing competitors like Polygon, Binance Smart Chain, and Optimism, but far behind Ethereum’s $1.26 billion. .
Much of the activity and excitement for Arbitrum at the moment is partly due to the fact that this layer-2 has remained so far. not airdrop tokens yetdespite a lot of previous rumors.
Stablecoins on Optimism (OP) increased 5% in the past 7 days
Since the beginning of March, stablecoin inflows into Optimism (OP) have increased by 4.89% to $669.11 million.
USDC is also the dominant stablecoin on Optimism, accounting for about 55% of the amount of $364.56 million. Other stablecoins in the top 3 include Synthetix protocol’s sUSD and USDT, with a total value of $145.77 million.
Ethereum Scaling Solution Coming Soon upgrade to “Bedrock” versionwhich was set by the developers to be updated on April 5, 2023.
Stablecoins Take Advantage of BUSD’s Decline
The market capitalization of the stablecoin segment is around $136.5 billion, with major coins like USDT, USDC, and BUSD accounting for 54%, 32%, and 6.2%, respectively.
Notably, USDT, whose market share rose to the highest level since the past 15 months, reached 54% with a value of up to 136 billion USD.
The rise of USDT or other coins comes mainly from rival BUSD, which has fallen sharply since the issuer Paxos announced that it will stop minting new BUSD do pressure from US officials. After just one month, the market capitalization of BUSD has dropped from 16 billion USD to less than 9 billion USD.
At this point, the cash flow from BUSD has been allocated to other stablecoins, as shown by the capitalization of USDT has increased by about 5.3 billion USD since the beginning of 2023 to 71.6 billion USD, with the 3 billion USD increase only in the second half of February. Competitor USDC also made $3 billion in capitalization from the drop in BUSD.