Cryptocurrency Compliance Firm Bitrace found $649 billion worth of Stablecoins flowing through addresses classified as high risk in 2024, according to a report on April 29.
Bitrace defines high-risk blockchain addresses as those used by illegal entities to receive, transfer, or store Stablecoins.
Crypto compliance companies usually acquire crypto wallet addresses based on their likelihood of being involved in illegal activities. The higher the risk, the more likely you are to play fouls and the less likely your compliant crypto business will accept your assets.
According to the report, the amount accounted for around 5.14% of all Stablecoin trading volume in 2024. This is a 0.8% decrease from 5.94% the previous year, but is significantly higher than the 2.8% reported in 2022 and 1.63% in 2021.
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Tron USDT outperforms high-risk transactions
Tron-based USDT (USDT) dominates high-risk Stablecoin transactions, with Bitrace data indicating that over 70% of the volume has moved over the network. The remaining high-risk stubcoin transactions are mostly Ethereum-based USDT and small amounts of USDC (USDC).
A possible explanation for the prevalence of USDT may be due to its larger market capitalization and adoption compared to other stability. At the time of writing, CoinmarketCap shows USDT’s market capitalization is over $148 billion, indicating that USDC is over $62 billion.
It’s not easy to explain Tron’s valence extension. Ethereum is a more popular option for most Stablecoin users, with Defillama showing that around $124.3 billion worth of Stablecoins are circulating on the network. Tron is second in, with around $71 billion, almost 43% less than Ethereum.
Comparing only the USDT balance, Tron is slightly more than Ethereum, holding 47.4% of the USDT supply and 45.44% of the Ethereum.
Related: Tether Stablecoin Issuer and Tron Launch Financial Crime Unit
Crypto gambling continues to increase
Bitrace also reported that in 2024, the online gambling platform handled $217.8 billion worth of Stablecoins, up 17.5% year-on-year.
Again, USDT also dominated this type of activity. Still, USDC’s market share is rising rapidly, reaching 13.36% in 2024.
Data follows a recent report that Crypto Casinos generated more than $81 billion in revenue in 2024, even as regulators in key jurisdictions continue to block access to the platform, according to a new report.
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