2.4 Why Stablecoins Are Popular

Unlike Bitcoin, Ethereum, and other cryptocurrencies that can fluctuate by 10% or more in a single day, stablecoins maintain a consistent value tied to the US dollar. This stability makes them practical for everyday transactions and as a reliable store of value.

For Indian users, stablecoins also provide indirect exposure to the US dollar, which can serve as a hedge during periods when the Indian Rupee is depreciating against the dollar. Holding stablecoins allows you to preserve purchasing power without the complexity of opening a foreign currency account.

Traditional international wire transfers through banks can take 2 to 5 business days and charge fees of 3% to 7% of the transaction amount. Stablecoin transfers settle in minutes, regardless of the amount, and cost a fraction of traditional banking fees.

This has made stablecoins particularly popular among freelancers who receive payments from international clients, families sending remittances, and businesses making cross-border payments. A freelancer in India can receive USDT from a client in the United States and convert it to INR through CryptoBazaar within the same day.

India's freelance economy has grown significantly, with millions of professionals providing services to international clients. Stablecoins offer these freelancers a faster, cheaper, and more accessible way to receive payments compared to traditional wire transfers or payment platforms that charge high conversion fees.

Merchants and small businesses that deal with international suppliers or customers also benefit from stablecoin settlements. The near-instant finality and low cost of stablecoin transactions make them an efficient alternative to traditional banking channels.