2023 Smashes All Records in Crypto Payments

Cryptocurrencies serve more than just as tools for short, mid, and long-term price speculation; they have diverse use cases, such as facilitating crypto payments, which drive the organic demand and health of the cryptocurrency market.

A report by CoinGate dated January 10, 2024, underscored this trend, highlighting 4 million transactions processed. In the year 2023 alone, the platform clocked over 1.29 million crypto payments, averaging one transaction every 24 seconds.

CoinGate stands as a frontrunner in the payments sector, consistently delivering impressive performance since its inception.

In 2023, a pivotal year for the segment, it accounted for a third of all transactions on CoinGate. The 1,294,058 crypto payments marked a 40% increase over 2022's 928,517.

Bitcoin and USDT dominate crypto transactions on CoinGate

When considering transaction volumes, Bitcoin (BTC) and Tether USD (USDT) took center stage, commanding 35.6% and 25.4% of all platform payments, respectively.

Worth noting, Bitcoin's share dipped from 47.8% in 2022, which itself was a decline from 2021's 54.8%. Conversely, USDT's share expanded, especially after CoinGate removed Binance's BUSD.

In specific months, USDT surpassed BTC, claiming 36.5% and 39.1% of the market in November and December, respectively.

Litecoin (LTC) also had a notable presence in CoinGate's 2023, accounting for 9.5% of all crypto transactions, trailed closely by Ethereum (ETH) at 9.3%, Bitcoin's Lightning Network at 7.8%, and Tron (TRX) at 7.1%.

Further diversifying the landscape, Binance's payment service contributed 8.2% of total transactions post the launch of Binance Pay in March. CoinGate also highlighted a rising number of crypto-friendly merchants embracing its platform.

“The horizon of 2024 is already promising new opportunities and challenges. We’re excited to continue our journey, focusing on innovation and customer satisfaction, as we strive to make cryptocurrency payments a norm rather than an exception.”

— CoinGate report

To sum up, CoinGate anticipates a promising trajectory for both consumers and merchants venturing into cryptocurrencies globally. With the potential for continued growth and adoption, 2024 could further bolster confidence in cryptocurrency investments.

Meet Rahul Nambiampurath from Kerala, India, a skilled freelance writer specializing in cryptocurrency. Rahul, who studied finance at Sikkim Manipal University, is an expert in areas such as cryptocurrencies, blockchain technology, NFTs, and Web3, the new era of the internet. Rahul started exploring cryptocurrencies in 2014 and gained over fi ..