Ethereum gas usage spikes for stablecoins; primarily inflows in USDT Ethereum gas usage spikes for stablecoins; primarily inflows in USDT

Ethereum gas usage spikes for stablecoins; primarily inflows in USDT

Roughly over 80% of the entire gas usage for stablecoins on Ethereum is being driven by USDT

Definition

The relative amount (share) of gas consumed by the Ethereum network by category. Transactions are classified into one of the following categories:

  • Stablecoins: Fungible tokens with value pegged to an off-chain asset by the issuer or an algorithm. We include 150+ stablecoins in this category, with USDT, USDC, UST, BUSD, and DAI being the most prominent ones.

Quick Take

  • Gas usage by transaction type has seen an increase in gas usage by stablecoins to over 6%, with new highs in 2023.
  • The collapse of FTX drove recent spikes at the end of last year, but on an aggregate basis, stablecoin usage is now higher than in 2022.
  • USDT is 5% of the total stablecoin gas usage and has seen a wave of inflows due to recent outflows of BUSD. 
  • While USDC is only 1.5% of the gas usage of stablecoins on Ethereum but has also slightly benefited from the demise of BUSD.
Gas usage by stablecoins: (Source: Glassnode)
Gas usage by stablecoins: (Source: Glassnode)
Gas usage by stablecoins: (Source: Glassnode)
Gas usage by stablecoins: (Source: Glassnode)