Monero Overtakes Bitcoin in Payment Volume on Platform for the First Time
Monero (XMR) has gained substantial popularity within the cryptocurrency community, often surpassing higher capitalized cryptocurrencies in user preference. In a significant development last June, XMR eclipsed Bitcoin (BTC) for the first time on a gift card payment platform, marking a notable shift in consumer behavior.
CoinCards, the platform in question, regularly publishes data on the percentage volume of each cryptocurrency used for payments since April 2023. Initially, BTC dominated with 40%, followed by Monero and Ethereum (ETH) with 23.64% and 13.9%, respectively. Following the introduction of Circle USD (USDC), a stablecoin, it surged to prominence, claiming the top spot in May 2024 with 33.21% volume, ahead of BTC and XMR.
In the latest report, Monero led the charge in June 2024, commanding 34.4% of CoinCards’ payment volume, while BTC followed with 25.96% and USDC with 20.20%. Other cryptocurrencies such as ETH, Litecoin (LTC), Solana (SOL), and Dogecoin (DOGE) each accounted for less than 10%.
Darknet markets similarly favor Monero over Bitcoin and other cryptocurrencies, aligning with broader user preferences. These markets, which transact billions annually, demonstrate a significant demand for XMR due to its default privacy features, lower transaction fees, and faster settlement times.
This growing adoption of XMR in payments mirrors Bitcoin’s early trajectory in dark markets like Silk Road, where it initially gained prominence before evolving into a digital store of value and attracting investors.
Despite Monero processing fewer transactions than Bitcoin, it scales effectively with 7,304 transactions per billion in market cap compared to Bitcoin’s 587, underlining its efficiency relative to market size.
As Monero’s popularity grows, so does the demand for XMR, potentially influencing its market price. Currently trading at $156 per coin, XMR has demonstrated resilience post-Binance’s delisting and often commands a premium on decentralized exchanges, presenting intriguing arbitrage opportunities.
Disclaimer: The content presented here is not intended as investment advice. Investing carries risks, and capital is at risk when trading cryptocurrencies.