Tron has continued to cement its position as a leading blockchain for stablecoin transactions, recording a massive $1.52 billion inflow in the past week. Meanwhile, Ethereum, a long-time leader in decentralized finance (DeFi), has experienced a significant outflow of $1.02 billion in stablecoins during the same period.
According to Lookonchain data, Tron saw a record-breaking surge in stablecoin inflows, particularly with USDT and USDC, being injected into its DeFi ecosystem. This marks an ongoing trend of growth in stablecoin activity on Tron, with substantial inflows seen over the past month. Just a week ago, on April 7, Tron recorded a $396 million increase, while Berachain faced a $269.56 million outflow. Earlier this year, by late February, Tron added $824.51 million in stablecoins, showing its growing dominance.
Tron’s appeal is driven by its low transaction fees, fast transfer times, and strong presence in emerging markets. The blockchain’s infrastructure is particularly cost-effective, making it an attractive choice for retail users, especially for transactions involving USDT. The average stablecoin transaction on Tron is significantly smaller than on Ethereum, which contributes to its popularity among smaller retail users.
As per DeFillama data, the total stablecoin market cap stands at $232.29 billion, with 52.67% of that deployed on Ethereum and 29.36% on Tron, amounting to $68.18 billion on Tron.
Despite Ethereum being a powerhouse for DeFi applications and institutional crypto transactions, it has seen consistent outflows of stablecoins in recent months. This $1.02 billion decrease follows a pattern of outflows observed in earlier weeks, including a $1.01 billion loss on March 24 and a $668 million increase on March 17, which was later overshadowed by larger outflows. In February, Ethereum experienced a $208 million outflow as liquidity shifted toward more cost-effective alternatives like Tron and Ethereum-compatible Layer-2 networks such as Base, Polygon, and Optimism.
Analysts suggest that Ethereum’s higher transaction fees and slower processing times for smaller transactions have contributed to this trend, driving retail users toward more efficient platforms like Tron. However, Ethereum remains a viable option for higher-value transactions, with Layer-2 solutions helping to alleviate some of its scalability issues.
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