#CryptoTrends #StablecoinSupply #CryptoAssets #BinanceStudy #ProtocolFees #ZeroKnowledgeTechnology #CryptoNarratives2023 #CryptoInvestment
In the final quarter of 2023, a noteworthy shift was seen in the world of cryptocurrency. The net supply of the top five stablecoins, which refers to the amount of capital available to purchase cryptocurrencies, reached $3.8 billion. This was the first time it had turned positive in almost two years, ending a run of six consecutive quarters spent in the negative. This development indicates a rise in the amount of money flowing into cryptocurrencies, suggesting an increase in potential buying pressure – a positive signal for crypto investment. The study conducted by Binance revealed that, prior to this rise, the largest negative net supply was recorded in Q2 of 2022, at $15.6 billion.
Simultaneously with the positive turn in stablecoin supplies, 2023 saw a significant increase in protocol fees. The study highlighted an over 88% month-on-month rise in fees for the top 20 projects, starting from January through to November. The Ethereum blockchain topped the chart by generating over $2 billion in fees, followed closely by Tron that accumulated $880 million. Among decentralized platforms, Lido Finance and Uniswap claimed the next spots by generating $547 million and $477 million, respectively. Besides, the study also spotlighted the growth of Zero-Knowledge (ZK) technology, a consistent talking point in the crypto site during the year. Although previously constrained due to incompatibility issues with the Ethereum Virtual Machine (EVM), the launch of specialized ZK-rollups known as zkEVMs addressed this, allowing easy deployment of smart contracts on the EVM.
Image: https://weeklyfinancenews.online/wp-content/uploads/2023/09/fin77.png
Comments are closed.