There is “A Lot of Noise” in the Widespread Stablecoin Data – Visa

According to Cuy Sheffield, Head of Crypto at Visa, his company has created an Onchain Analytics Dashboard that aims to provide accurate information about the growth of stablecoins. Sheffield made the statement in a recent post on X, referencing a publication where he addressed the ongoing comparison between stablecoins and the mainstream payment settlement platforms.

The Visa Head of Crypto highlighted the famous statistics showing that stablecoins are catching up with most established settlement networks in transaction volumes. According to him, there is a lot of noise in the widespread information. Hence, his company has developed a solution for accurate measurement of the stablecoins growth data and statistics.

Sheffield noted that Visa designed the newly created dashboard to be an easily digestible, freely available window into publicly available aggregated blockchain data, beginning with stablecoins. He explained that the novel solution would eliminate the noise from the predominant stablecoin transaction models based on public blockchain networks.

The crypto expert cited instances where developers create automated bot programs that perform activities such as stablecoin arbitrage, liquidity provision, and market making. He noted that the onchain transactions resulting from interactions with these automated programs don’t resemble settlement in the traditional sense.

According to Sheffield, Visa’s new solution has discovered three notable trends relating to the current state and potential of stablecoins. First, Visa found that the supply of stablecoins is approaching an all-time high. The settlement company noted that the total demand for stablecoins has picked up in 2024, with the circulating supply approaching $150 billion.

Secondly, Visa discovered a steady growth in the monthly active stablecoins users. The platform’s dashboard showed 27.5 million active stablecoins users across all chains at the time of Sheffield’s publication.

Thirdly, Visa highlighted discrepancies between the total stablecoins transfer volume and the bot-adjusted transfer volume. By applying a simple heuristic that removes inorganic data, the platform revealed that the stablecoins transfer volume for the last 30 days can be adjusted from $2.65 trillion to $265 billion.