The daily transferred value of Bitcoin looks to be inching closer to the value of MasterCard daily transactions. According to MasterCard’s recent quarterly report, MasterCard averages about $11 billion a day. In comparison, Bitcoin moves an average of $8 billion in a single day.
Extrapolating the figures to annual transfers puts MasterCard at $4.4 trillion transferred in the year to date. On the other hand, Bitcoin posts a value of around $3 trillion over the same period.
Bitcoin to surpass MasterCard daily transactions soon due to transfer value
Ethereum comes a distant second among cryptocurrencies with just $250 billion in the same period, Trustnodes reports. Further, the publication notes that Bitcoin Cash is third with Litecoin coming in fourth.
Interestingly, Trustnodes further elaborates that combined transactions by cryptos could be higher than MasterCard daily transactions. This is despite the cryptos having a less transaction rate per second. However, the higher value could be due to the fact that some coins have a higher dollar value. For instance, Bitcoin is far higher in value in terms of dollars.
Further, the higher transaction value could also be down to the fact that crypto transactions are in huge sums. For instance, transactions over MasterCard are usually in small values. It is not uncommon to find transactions less than $20.
VISA ahead of them all
In contrast, purchases made in cryptocurrency are usually in bulk. Interestingly, it is possible for people to make transfers amounting to billions of dollars in a single transaction.
However, statistics from VISA indicate that the firm handles far more transfers than either Bitcoin or MasterCard. In particular, the firm handles up to $11 trillion transfers in a year. Interestingly, the firm experiences the highest transaction rate with up to 65,000 transactions a second.
In comparison, Bitcoin can only handle about 0.01% of Visa’s transaction rate. Even with the dismal display in transaction rates, Bitcoin still transfers about 25% of Visa’s amount of value processing.
Already, there are sentiments that put Bitcoin up there with the likes of MasterCard in terms transaction volume. Appearing on CNN, Anthony Pompliano, the founder of Morgan Creek Digital said: “From a value perspective it’s [Bitcoin] up there with MasterCard.”
DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of journaltranscript.com. Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions. To read our full disclosure, please go to: