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    Comparing USDC Transactions: Solana vs. Ethereum

    In 2021, Visa made its first step into the world of cryptocurrencies by launching a pilot settlement program using USDC on the Ethereum blockchain. Fast forward to September 2023, Visa unveiled plans to expand its program to a second blockchain that also supports native USDC, Solana. Now, let's dive into the analysis of USDC transfers on both blockchains over time.

    What Is USDC (USDC)?

    • USDC is a stablecoin that is pegged to the U.S. dollar on a 1:1 basis. Every unit of this cryptocurrency in circulation is backed up by $1 that is held in reserve, in a mix of cash and short-term U.S. Treasury bonds. The Centre consortium, which is behind this asset, says USDC is issued by regulated financial institutions Link.
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    Introduction
    Methodology
    Summary

    Over the last three months, USDC has been involved in a significant number of transfer transactions on both the Solana and Ethereum networks. On Solana, there were over 46 million transactions, while Ethereum saw approximately 3.19 million transactions. Despite the stark contrast in transaction volumes, it's worth noting that both networks had a similar number of senders, but Solana had more receivers. This could indicate that multiple users are consolidating their USDC in a single wallet on Solana, possibly to reduce gas fees.

    In terms of transaction fees, Ethereum incurred higher fees compared to Solana, highlighting the cost-effectiveness of the Solana network. However, when it comes to total transfer volume, Ethereum outperformed Solana.

    Shifting our focus to swapping activity, Solana recorded the highest number of swap transactions, while Ethereum had the most swappers and the greatest swap volume of USDC over the same three-month period.

    When examining the inflow and outflow of USDC to and from centralized exchanges (Cex) on both networks, similar patterns emerged, albeit with different numerical values. This suggests that users on both networks exhibit similar behavior when it comes to interacting with Cex.

    Overall, while Solana offers cost-effective transactions and high swap transaction volume, Ethereum remains the preferred network among users, despite its high gas fees.

    This dashboard compares USDC statistics on the Solana and Ethereum networks, illustrating the performance of this token on these networks over the last three months.

    Furthermore, this dashboard comprises five sections. In the first section, I introduce USDC and provide an overview of the methodology and summary of this dashboard. In the second section, I depict the transfer activity of this token on each network and then compare them.

    The third section presents swap statistics for USDC on both networks. in the 4 section illustrates the outflow and inflow of USDC to and from centralized exchanges during this time period.

    Additionally, I utilized the contract address (0xa0b86991c6218b36c1d19d4a2e9eb0ce3606eb48) to showcase USDC statistics on Ethereum and the contract address (EPjFWdd5AufqSSqeM2qN1xzybapC8G4wEGGkZwyTDt1v) to illustrate USDC statistics on Solana.