Summary
- Unfolded said about 28%% of Binance users now hold more than half of their assets in stablecoins.
- Users in emerging markets account for about 77%% of Binance's total user base, and 36%% of them hold more than half of their assets in stablecoins.
- Unfolded added that demand for stablecoins and dependence on centralized exchanges are being structurally reinforced, with users relying heavily on centralized platforms rather than self-custody.
Forecast Trend Report by Period
Binance users have sharply increased their stablecoin holdings over the past several years, with some effectively using centralized exchanges, or CEXs, as dollar savings accounts.
Crypto-focused account Unfolded wrote on X on May 12 that about 28% of Binance users now keep more than half of their portfolios in stablecoins.
That is roughly seven times the 4% recorded in 2020.
The preference is especially pronounced among users in emerging markets.
Among those users, 36% hold more than half of their assets in stablecoins. Emerging-market users account for about 77% of Binance's total user base.
In countries facing low deposit rates and unstable currencies, stablecoins are effectively serving as a digital dollar substitute, according to the analysis cited by the market.
Unfolded said the rising share of stablecoin savings shows crypto is filling part of the gap left by the traditional financial system. The trend is also structurally reinforcing demand for stablecoins and dependence on centralized exchanges, it added.
At the same time, that means users are relying heavily on centralized platforms rather than self-custody or on-chain yield strategies.
The figures were compiled from the latest report as of May 7.
Minseung Kang
minriver@bloomingbit.ioBlockchain journalist | Writer of Trade Now & Altcoin Now, must-read content for investors.
