Against the backdrop of a cryptocurrency market downturn, Tether’s (USDT) market capitalization rose above $60 billion. Over the year the metric has grown by nearly sevenfold.
Tether has just surpassed a $60B market cap!
In May 2020, #Tether tokens’ market cap was $8B, now a year on we’ve seen an increase of 581% and demand for Tether token use higher than ever for both trading and retail adoption! pic.twitter.com/7EPeBAEfFh— Tether (@Tether_to) May 24, 2021
USDT rose to the third place in the CoinGecko ranking, surpassing Binance Coin (BNB). The stablecoin’s market capitalization is estimated at $60.4 billion. The $50 billion mark was surpassed in April 2021.
Tether remains the undisputed leader in the sector. According to The Block, the market value of all stablecoins in circulation stands at $99.89 billion. The USDT dominance index sits at 62.89%.
In conversation with Cointelegraph, Tether’s chief technical officer Paolo Ardoino noted that demand for stablecoins grows during periods of high volatility in the cryptocurrency market.
During such extreme episodes, we have historically observed an uptick in activity in this segment. The recent achievement of Tether’s $60 billion milestone shows that demand continues to rise. Such events strengthen the ecosystem and help everyone refocus on work after attention was drawn to the rise in token prices,
Ardoino explained.
According to Tether’s transparency report, the largest USDT issuance is on the Tron blockchain (~$31.756 billion) and Ethereum (~$26.823 billion). The stablecoin also operates on Omni, EOS, Algorand, Solana, the Liquid Network and the Simple Ledger Protocol.
The USDT issuer has announced an imminent launch of a token on the Avalanche blockchain.
The USDT listing on Coinbase Pro took place in April 2021. In the first phase the platform supported ERC-20 tokens.
In March, Moore Global confirmed that the stablecoin is fully backed by reserves of Tether Holdings Limited.
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