USDT Adoption Surges: Over 330 Million On-Chain Wallets Reported - Blockchain.News

USDT Adoption Surges: Over 330 Million On-Chain Wallets Reported

Rongchai Wang Oct 16, 2024 12:02

The adoption of Tether's USDT has reached over 330 million on-chain wallets by Q3 2024, showcasing its global impact as a digital asset, according to Tether.io.

USDT Adoption Surges: Over 330 Million On-Chain Wallets Reported

Tether's USDT stablecoin has witnessed substantial growth, marking a significant milestone in cryptocurrency adoption. According to Tether.io, by the end of the third quarter of 2024, over 330 million on-chain wallets and accounts have received USDT, a figure that mirrors the population of the United States.

A Milestone in User Adoption

USDT's user base has expanded rapidly, with each quarter surpassing the previous in terms of user growth. The last four quarters alone have seen an average increase of 9%, culminating in a record-breaking Q3 2024, which added 36.25 million new users. This growth is indicative of USDT's increasing role as a financial tool across various demographics worldwide.

Understanding the User Base

USDT users can be categorized into two main groups: those using on-chain methods, involving blockchain transfers to personal wallets or centralized accounts, and off-chain users, who trade or buy USDT on centralized platforms. While the current report focuses on on-chain users, estimates suggest that off-chain accounts, held by several tens of millions, further amplify USDT's reach.

Growth Driven by Layer 2 Solutions and TON

The surge in USDT adoption is largely attributed to its availability on multiple blockchains, notably Tron, Binance Smart Chain, and Ethereum. However, rapid user growth has been observed on Ethereum Layer 2 solutions like Optimism, Arbitrum, and Polygon, as well as on Avalanche and Solana. Recently, USDT's launch on TON has contributed significantly, with 3.3 million users added within six months, representing 1% of all on-chain users.

Methodology and Data Sources

Tether utilizes blockchain data from Chainalysis and Artemis to estimate user numbers across various blockchains. On-chain users are defined as wallets and accounts that have received USDT, while new users are those who have received USDT for the first time within a given period. This comprehensive approach offers a conservative estimate by excluding internal operation addresses.

The data reflects USDT's role in providing financial access to diverse communities, underscoring its significance in the global digital economy. With continuous growth, USDT is poised to further impact financial systems worldwide, as indicated in the upcoming Tether Insights series.

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