Gap between Bitcoin and Ethereum transaction volumes narrows as stablecoin demand soars 

Quick Take

  • The disparity between Bitcoin and Ethereum economic activity falls by 50% when taking stablecoin volumes into account
  • As of July 26, total Ethereum stablecoin transaction volume surpassed Ether transaction volume for the first time, indicating that Ether’s role as the network’s long-term primary medium of exchange is in doubt


A cryptocurrency’s transaction volume refers to the dollar value of coins flowing through the network on a daily basis. Although imperfect in that it is uniquely susceptible to wash transactions, transaction volume nevertheless provides analysts with a sense as to the extent of economic activity supported by a particular network. A rather uncontroversial rule of thumb, the higher the transaction volume, the more utility a network is provisioning, and, arguably, the higher its fundamental value. 

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