71% of Stablecoin Volume Bot-Driven, Raising Real-World Utility Concerns

Over 70% of Stablecoin Transactions in Q3 2025 Were Bot-Driven^[1] Over 70% of stablecoin transactions in the third quarter of 2025 were driven by automated trading bots, according to a report by crypto exchange CEX.io. The study revealed that stablecoin transfers surged to a record $15.6 trillion during the period, with bot-driven activity accounting for 71% of total volume. Organic non-bot transactions contributed approximately 20%, while internal smart contract and intra-exchange operations made up the remaining 9%. The research highlighted that high-frequency trading bots, defined as those executing over 1,000 monthly transactions and $10 million in monthly volume, dominated the bot-driven category. These bots included maximal extractable value (MEV) strategies and decentralized finance (DeFi) protocol interactions, though the latter represented less than half of the total stablecoin volume. Analysts noted that while bots enhance liquidity, the activity may not always reflect meaningful economic usage, raising concerns for policymakers evaluating systemic risks and real-world adoption.

Stablecoins in Q3 2025: The Most Active Period Yet^[2] The report also emphasized a surge in retail-sized stablecoin transactions under $250, which reached an all-time high in September 2025. This trend positions 2025 as the most active year for retail stablecoin usage, with projections suggesting total retail volumes could exceed $60 billion by year-end. CEX.io attributed this growth to trading activities, which accounted for nearly 88% of sub-$250 transactions. However, the report noted an expanding role for stablecoins in remittances, payments, and fiat cash-outs, with non-trading activity increasing by over 15% year-to-date. The data underscores stablecoins' growing utility beyond speculative trading, particularly in everyday transactions and cross-border transfers.

Despite the dominance of bot activity, the report flagged potential risks, including the proliferation of unlabeled high-frequency transfers and the possibility of wash trading inflating activity metrics. CEX.io's market research analyst Illya Otychenko emphasized the need for regulators to distinguish between bot-driven and organic transactions when assessing stablecoin adoption. The firm noted that USDT and USDC led net inflows in Q3, with Tether's USDT recording $20 billion and Circle's USDC adding $12.3 billion. Synthetic stablecoin USDe also saw $9 billion in inflows, reflecting shifting demand dynamics.

The analysis highlighted Ethereum's continued dominance in stablecoin issuance, hosting 69% of new stablecoin supply in Q3. This contrasts with Tron's declining share, suggesting a migration of liquidity toward Ethereum-based ecosystems. Smaller blockchains like Arbitrum and Hyperliquid's L1 saw rapid growth, driven by DeFi integrations and leveraged yield strategies. Meanwhile, regulatory developments, including the U.S. GENIUS Act and European MiCA framework, are shaping stablecoin compliance standards. These measures aim to clarify legal classifications and enforce transparency, though challenges remain in balancing innovation with risk mitigation.

The report concluded that stablecoins are transitioning from a crypto-side tool to a core component of global financial infrastructure. While bot activity remains a focal point, the rise in retail adoption and cross-border use cases signals broader acceptance. Policymakers and market participants must address the duality of bot-driven liquidity and genuine economic utility to ensure stablecoins' role aligns with systemic stability goals. As Q4 approaches, the momentum from Q3 suggests further growth, though the concentration of activity in dominant assets like USDT and USDC may persist.