Stablecoin movements on the Tron and Avalanche networks have shown contrasting trends recently. Over the past week, the Tron network experienced a significant inflow of stablecoins, with an increase of $2.17 billion, primarily in USDT and USDC. This surge reinforces Tron's position as a major hub for stablecoin transactions, likely due to its low transaction fees and high throughput, attracting both retail and institutional users.
Conversely, the Avalanche network saw a decrease of $66.22 million in stablecoins (USDT and USDC) during the same period. This outflow occurs despite a substantial increase in the overall stablecoin supply on Avalanche over the past year. Analysts suggest that a significant portion of the stablecoins on Avalanche might be held in inactive treasury holdings rather than being actively deployed within its DeFi ecosystem, thus not driving demand for the AVAX token.
Overall, recent data indicates a preference for the Tron network for stablecoin activity, while Avalanche is experiencing a different dynamic where increased stablecoin supply isn't necessarily translating to increased network utilization or demand for its native token.