Solana: 4. Stablecoin Popularity
Create a visualization comparing USDC, USDT, and UST (wormhole) usage in transactions throughout the month of January. Has UST seen more adoption in the Solana ecosystem this month? How do you expect this trend to continue? Why?
This analysis will look at the number of transactions involved in USDC, USDT, and UST(Wormhole) and here onwards will be called as stablecoins in general.
Note that Wrapped UST and other coins except for the three contracts mentioned above have been omitted from the analysis since those are the only 3 coins mentioned in the bounty.
The code for the analysis can be found in this colab notebook
The number of transactions per minute for USDC seems to be very high compared to the other two tokens. UST volume is significantly low than both the other tokens. However, there's a drop in USDC and USDT volume towards the 21st, and 22nd of January but then the volume picked up in both the coins and peaked its volume but it is still hard to see the UST volumes since the numbers are quite low compared to other two coins. Therefore let's change the scale of the transaction volume for visualization purpose.
The volumes are much clearer on the log scale and it isn't obvious that UST suffered a similar dip on the 22nd as the other 2 coins did. Although the volumes are relatively low it seems like UST volumes are trending upwards during the month of January 2022. Let's confirm this by zooming out a bit.
The Number of transactions per hour has less clutter and dips and spikes are clearly visible it's obvious that USDC and USDT volumes are pretty much correlated except for a few instances like on the 24th where USDC had a clear spike in volume while USDT had a small dip. Again let's zoom out a bit in to a different scale to look at UST more closely.
It's quite clear that UST trends upward despite its two cousins being pretty much correlated.
The less volume on the 4th and 22nd of January can be attributed to the network instability that Solana faced during those days. However, the UST volume doesn't seem to have affected much on those occasions compared to the two others. All these seem to be good signs for UST on Solana and can consider that the trend of UST adoption in Solana is positive.