Most of the major digital assets in the ever-evolving crypto market are experiencing significant growth, as evidenced by Tether’s USDT latest milestone. The popular stablecoin has now reached a new threshold in terms of overall market value, cementing its position as a leader in the sector.
A $160 Billion Supply Mark For Tether’s USDT
In a notable growth, Tether’s USDT has formally surpassed the $160 billion mark in circulation, which is a significant milestone for the biggest stablecoin in the world. This milestone comes on the back of a resurgence in the general crypto market, with assets such as Bitcoin and Ethereum breaking barriers.
With USDT still playing a crucial role in both controlled and decentralized finance ecosystems, such an achievement reflects the increased demand for liquidity, stability, and cross-border usefulness in the digital asset field.
Paolo Ardoino, the Chief Executive Officer (CEO) of Tether, has celebrated this milestone in a recent post on the X (formerly Twitter) platform. According to the CEO, this is “a statement of the unrivaled utility of USDT as the digital dollar for billions of people living in emerging markets and developing countries.”
Thus far, Ardoino has professed gratitude to the community for this new mind-blowing milestone. Tether’s rapid expansion indicates not only a maturing market but also a growing dependence on stablecoins as essential infrastructure for international cryptocurrency trade.
Another significant development of Tether is the substantial increase in monthly on-chain transfer volume. Data shared by the CEO shows that the stablecoin currently averages $1 trillion in on-chain volume on a monthly basis.
It is worth noting that the on-chain volume has been steadily rising from about $14.8 billion to $1.1 trillion per month, representing a 7400% growth since 2020. This sharp increase reflects the crucial role of the blockchain as a liquidity backbone in the crypto industry.
There has also been a notable surge in active user count and participation. Ardoino’s post revealed that Tether’s active users have skyrocketed from 2.8 million to 450 million, indicating an over 160x rise since 2020.
Will The Stablecoin Leader Lose Its Dominance To Upcoming Counterparts?
Despite this remarkable growth in market value, on-chain transfer volume, and active user count, the stablecoin is still on the verge of losing its market grip. This is due to upcoming regulated stablecoins like Ripple‘s dollar-pegged token, RLUSD, gaining substantial recognition in the crypto and financial landscape.
Regulations focusing on the relationship between digital assets and traditional finance are currently being developed globally, which may impact the dominance of USDT. This is due to the fact that the stablecoin might be dodging authorities’ requests for openness regarding how it manages its underlying assets.
Featured image from Adobe Stock, chart from Tradingview.com
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