Crypto Industry's Stablecoin Adoption Figures Are Grossly Overstated, Says New Report
The cryptocurrency market has long touted stablecoins as a key indicator of adoption, with some estimates suggesting that they reached record-breaking levels in 2025. However, a new report from McKinsey Financial Services suggests that these figures are largely exaggerated.
According to the report, only around 1% of blockchain transfers - or roughly $35 trillion in total transaction volume - are actually related to real-world payments. This translates to stablecoin adoption being less than 0.02% of global payments, not the 5-10% previously claimed by various industry entities.
The majority of stablecoin payment activity appears to be driven by business-to-business (B2B) payments and international remittances, primarily originating from Singapore, Hong Kong, and Japan. This is a far cry from the widespread adoption expected by some in the industry.
The report also found that decentralized exchange (DEX) activity on Ethereum increased following the collapse of FTX, but this was largely due to a single MEV bot frontrunning users, rather than a genuine shift towards DeFi.
Despite the overstatement of stablecoin adoption metrics, there are signs of real growth. The total supply of stablecoins has more than doubled from less than $30 billion in 2020 to over $300 billion today, with this year's estimated $390 billion in stablecoin payments being more than double what was seen in the previous year.
However, these gains come at a cost. Stablecoins are now accounting for the vast majority of illicit crypto transfers, according to blockchain analytics firm Chainalysis. The Maduro regime has also been spotted using Tether's USDT stablecoin, highlighting the potential risks associated with pro-stablecoin policies.
The debate over stablecoin adoption and its implications for decentralized networks continues to simmer. While some see stablecoins as a key driver of growth, others question how much value will accrue to open protocols if stablecoin issuers can successfully centralize control over the tech stack.
The cryptocurrency market has long touted stablecoins as a key indicator of adoption, with some estimates suggesting that they reached record-breaking levels in 2025. However, a new report from McKinsey Financial Services suggests that these figures are largely exaggerated.
According to the report, only around 1% of blockchain transfers - or roughly $35 trillion in total transaction volume - are actually related to real-world payments. This translates to stablecoin adoption being less than 0.02% of global payments, not the 5-10% previously claimed by various industry entities.
The majority of stablecoin payment activity appears to be driven by business-to-business (B2B) payments and international remittances, primarily originating from Singapore, Hong Kong, and Japan. This is a far cry from the widespread adoption expected by some in the industry.
The report also found that decentralized exchange (DEX) activity on Ethereum increased following the collapse of FTX, but this was largely due to a single MEV bot frontrunning users, rather than a genuine shift towards DeFi.
Despite the overstatement of stablecoin adoption metrics, there are signs of real growth. The total supply of stablecoins has more than doubled from less than $30 billion in 2020 to over $300 billion today, with this year's estimated $390 billion in stablecoin payments being more than double what was seen in the previous year.
However, these gains come at a cost. Stablecoins are now accounting for the vast majority of illicit crypto transfers, according to blockchain analytics firm Chainalysis. The Maduro regime has also been spotted using Tether's USDT stablecoin, highlighting the potential risks associated with pro-stablecoin policies.
The debate over stablecoin adoption and its implications for decentralized networks continues to simmer. While some see stablecoins as a key driver of growth, others question how much value will accrue to open protocols if stablecoin issuers can successfully centralize control over the tech stack.
. I mean, 1% of blockchain transfers is still a huge chunk of change, but it's hardly a "record-breaking level" as some are claiming 
. And let's be real, the majority of that 1% is just B2B payments and international remittances - not exactly the widespread adoption we're hearing about 
. The fact that most stablecoin activity comes from Singapore, Hong Kong, and Japan doesn't necessarily change the story either 
.
. And yeah, decentralized exchange activity on Ethereum did go up after FTX's collapse, but that was just a single bot doing its thing... not exactly proof of DeFi growth 
. Still, I do think the total supply of stablecoins is crazy high ($300 billion now? 
), and these numbers are still doubling (and more) year over year... but at what cost? The fact that stablecoins are now basically the go-to platform for illicit transfers isn't exactly reassuring 
.
. I mean, I know some ppl are super into it, but come on, $35 trillion in transaction volume being related to real-world payments? That's like me saying I've been driving a Tesla for years and owning 100 homes 
. Like, where's the global adoption supposed to be? I'm not saying it can't grow, but let's keep things in perspective 
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. I mean, it's true that there is some growth happening, but let's not get carried away here. And what's worrying me is that stablecoins are becoming a hotbed for illicit transactions... that's not good for anyone 
.
. They're just trying to sell us something that's not even real. I mean, 1% of blockchain transfers? That's like saying 99% of your transactions are legit 
. And it's all about the B2B payments and remittances from Singapore, Hong Kong, and Japan. Like, what's going on there? 
. That MEV bot frontrunning users was just a fancy way of saying "we're rigging the system" 
.
! 0.02% of global payments is kinda low 
. It's like saying just 'cause people buy coffee 
️ doesn't mean they love the brand 
! Governments need to step up and regulate these coins ASAP 
. Can't let pro-stablecoin policies just take over 
. We need decentralized networks to stay free 
.
i read dis new report from McKinsey and its like... stablecoin adoption is like, super low? 
. The fact that most stablecoin activity is driven by B2B payments and international remittances from a few specific countries doesn't necessarily scream "democratization of finance" to me 
.
. Stablecoins are just one part of the crypto game and you can't just look at transaction volume to gauge adoption. What about usability? Is the average person even using these things? It feels like some people in the industry are stretching it a bit too far 