As the price of various crypto assets has risen on almost every front, it is clear that some crypto assets have increased not only in value but also in the number of transactions, like Monero for example.
Indeed, it is often the case that as the price increases, so does the number of transactions, something that happened also with Bitcoin.
Monero (XMR) is one of the few privacy coins that can hide both the wallet balance and the amount transacted.
If we look at the data provided by CoinMetrics, we can see in detail the trend of Monero transactions and the various factors that have affected this increase.
Monero (XMR) transactions
As expected, the increase in Monero (XMR) transactions is mostly due to the increase in price, which has led to people being more willing to carry out various transactions with this asset.
The lowest point in the number of transactions was at the beginning of September when there were just under 10,000 transactions and the price was slightly below $80. Gradually, the number of transactions increased in proportion to the price of the asset, and today there are over 19,000 transactions and the price is almost $140.
The latest news about Monero
Recently, the American IRS has promoted patents (there are already two known) to track Monero. And right around the time of the announcement, an initial increase in transactions began, perhaps in order to get rid of the asset as quickly as possible so as not to be traced by the competent authorities, whether for tax problems or illegal activities.
Another aspect to consider is the delisting from exchanges, which makes it problematic to recover and sell. There are now few exchanges on which to recover or sell the asset, so perhaps users are taking advantage of the listing to liquidate it to avoid future problems with an asset that may be difficult to sell.
Users are more likely to sell the asset on exchanges than buy it, as it makes no sense to buy a privacy-driven asset from a centralized platform that knows all our data.
Certainly, Monero remains a favourite asset for criminal activities, which not only exploit it to move capital but also as a form of payment for ransoms that criminals demand from their victims and thus continue to perpetrate their misdeeds.
Of course, this is not the only reason to use Monero, as it protects privacy and there are also non-illegal reasons why its use is ideal.