Stablecoin Utility Report Highlights Growing Interest
A recent report by YouGov, in collaboration with BVNK, Coinbase, and Artemis, surveyed over 4,650 individuals across 15 countries who either own or plan to own cryptocurrencies.
The findings indicate a significant enthusiasm for stablecoins in Africa’s largest economies, with optimism levels ranking among the highest worldwide.
Adoption is notably high in Nigeria and South Africa, where nearly 80% of respondents confirmed holding stablecoins. Additionally, more than three-quarters of those surveyed expressed intentions to increase their holdings over the coming year.
Interestingly, nonholders in low- and middle-income countries showed interest in entering the market that was about twice as strong compared to those in high-income countries.
Nigeria stands out, as about 95% of Nigerian respondents prefer using stablecoins over the naira. This indicates a growing interest in dollar-linked digital assets, particularly in a context of inflation.
“People are already receiving paychecks and using stablecoins, especially when traditional payments are slow, expensive, or unreliable,” noted Chris Harmse, co-founder of BVNK. He added that users are seeking “more integration into existing financial tools.”
Dollar-Pegged Tokens Gain Traction Amid Regulatory Concerns
On a global scale, the dominant market players are U.S.-pegged tokens like Tether, valued at approximately $185 billion, and USDC, priced around $75 billion. Analysts anticipate further growth, especially as clarity around regulations is expected to improve in major markets, such as with proposed legislation in the United States like the GENIUS Act.
However, central banks in emerging economies are proceeding with caution. Policymakers are concerned that widespread stablecoin adoption might speed up capital flight, weaken domestic currencies, deplete bank deposits, and destabilize monetary policy.
That said, officials recognize the potential advantages. Lesetya Kganyago, Governor of the South African Reserve Bank, pointed out that sending $100 to Mozambique can cost up to $30, suggesting stablecoins could reduce that financial burden.
Despite the keen interest, everyday use of stablecoins remains minimal. Almost 90% of transactions are related to crypto trading, while only about 6% are utilized for purchasing goods and services. This underscores the existing infrastructure gap that must be addressed before stablecoins can function as mainstream payment options.
