Tether (USDT) Is One of the Most Popular Digital Assets, With 109 Million On-Chain Wallets Holding the Stablecoin

According to Tether, 109 million on-chain wallets held USDT at the start of the fourth quarter, making the stablecoin one of the most popular assets.

Tether (USDT) has revealed some interesting statistics regarding the stablecoin's prevalence. According to the company, 109 million on-chain wallets held USDT at the beginning of Q4 2024, which is more than double the number of wallets holding bitcoin and close to the 128 million wallets holding Ethereum – making USDT one of the most widely held digital assets.

This growth is primarily driven by wallets holding less than $1,000, with a 71% increase in the past year and 129% the year before. A Bloomberg analysis indicates that the majority of these new users are emerging from Africa.

As per Ardoino, Tether has just over 300 million users globally.

This is further highlighted by transactions on centralized platforms, such as cryptocurrency exchanges, which remain a vital part of the ecosystem. According to Tether, centralized platforms host 86 million accounts that have received on-chain USDT deposits.

During the first three quarters of 2024, these platforms attracted 4.5 billion web visits. Of these visits, 46% originated from emerging markets, where users often rely on USDT for saving, transacting, and overcoming financial difficulties.

In many instances, users handle all activities – buying, holding, and sending – exclusively within these platforms.

“We know from our partners that many users of exchanges in emerging markets buy, hold, and send USDT entirely within the platform. So while only the platforms themselves know the current balances of these 86 million accounts – and the several tens of millions of users who exclusively use off-chain USDT – it is likely that many of them continue to hold USDT.”

Tether also highlights the accessibility of USDT, especially among retail users, as a key factor in its popularity. Wallet data reveals that 18.7 million accounts hold balances of less than $1, while another 31.5 million accounts manage holdings between $1 and $1,000, showcasing USDT's capacity to cater to users with limited financial resources.

Just over a million wallets hold more than $1,000 of USDT, with two thirds of these holding between $1,000 and $10,000 of USDT, Tether said.

Finally, in the competition of stablecoins, Tether data shows four times more wallets than all other stablecoins combined.

“As of November 1 [2024], 54 million on-chain wallets held more than one cent of USDT, compared to just 13.8 million wallets for all other stablecoins, a 4:1 ratio. This comprehensive analysis spans 25 stablecoins across 10 blockchains, covering 97.5% of the total stablecoin supply.”