Cumberland, the crypto affiliate of trading firm DRW, published a report on non-USD stablecoins, noting that they are currently simply a rounding error. US dollar-denominated stablecoins account for 99.3% of all stablecoins and the top dozen stablecoin tokens.

The report highlights multiple use cases for non-dollar stablecoins, including forex trading and cross-border remittances. Referring to forex trading volumes of $7.5 trillion per day, he observes: “Getting even a small percentage of that volume onto the crypto rails would be a huge boost to volumes.”

One point that we would like to add is some cost comparisons to convert US dollars to euros. Uniswap Research compared the cost of $7 to convert $500 into Uniswap with a fee of $28 with a bank and $19 with a money transfer operator. We won’t discuss the last two, but it’s fair to say that Uniswap transaction costs can vary significantly.

However, many people who make these remittances regularly, especially in Europe, do not use banks or money transmitters. They use specialist operators such as Wise or Revolut. If you have a Wise account, the cost is $2.75 using the mid-market exchange rate.

Another critical use case for non-dollar stablecoins is supporting crypto transactions in non-dollar currencies.

The report explores some challenges, including the proliferation of stablecoins on different blockchains. Interoperability is important, including some minimum standard for stablecoins. One thing we learned from the report is a new organization called Stablecoin Standard. So far, it has registered at least five smaller stablecoin operators and has a concise standard of less than 200 words.

In other stablecoin news, Circle’s provisional license in Singapore has been terminated.