The crypto transaction boom in 2023: Bitcoin and USDT leading the way

Generally speaking, the year 2023 has been particularly dynamic for the crypto industry. More specifically, the cryptocurrency payments segment is no exception as it has achieved exceptional performance throughout this year. This is at least what a recent study by the crypto firm CoinGate indicates.

Rise in Crypto Payments in 2023 Dominated by BTC and USDT

In a recent report, CoinGate, a leading player in the payment intermediaries sector, reported a remarkable increase in crypto transactions on its platform. It managed a staggering 4 million cryptocurrency payment activities over the period.

Particularly, the year 2023 stood out as the pinnacle in terms of performance. Indeed, it totaled an impressive 1,294,058 cryptocurrency payments, a substantial increase of 40 % compared to 2022.

The frequency of these operations is just as exceptional with an average of one payment every 24 seconds. A constant that underscores the growing importance of crypto payments. These are more than just vehicles for speculation on investments.

Specifically, bitcoin (BTC) and USDT accounted for the lion’s share of these transactions, with 35.6 % and 25.4 % respectively. Bitcoin’s dominance has decreased compared to the 47.8 % of 2022. It’s quite the opposite for USDT, which experienced growth in November and December, of 36.5 % and 39.1 % respectively.

Record-breaking year for crypto payments in 2023 – CoinGate report

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While everyone is focused on more price speculation with the #BitcoinETF, I would rather ignore the noise and focus on utility.

Thanks, @CoinGatecom, for this payments' yearly report! pic.twitter.com/A4z5GRozqb

— Vini Barbosa (@vinibarbosabr) January 10, 2024

Litecoin (LTC) Emerges as a Significant Player

Aside from bitcoin (BTC) and USDT, the cryptocurrency Litecoin (LTC) has emerged as a significant player, thanks to a contribution of 9.5 % to the total crypto payments on CoinGate in 2023.

Ethereum (ETH), Bitcoin’s Lightning Network, and Tron (TRX) are close behind with 9.3 %, 7.8 %, and 7.1 % respectively. The launch of Binance Pay in March enabled Binance’s payment service to account for 8.2 % of all transactions on CoinGate.

Furthermore, CoinGate has highlighted a notable increase in the number of crypto-friendly merchants using its services. This is an indication of a broader acceptance and adoption of cryptocurrency payments in recent months.

The platform predicts a promising trajectory for cryptocurrency payments in 2024, driven by sustained innovation focused on improving user experience. CoinGate is optimistic about the future of crypto payments which it sees as becoming the norm rather than the exception.