The market value of cryptocurrency stablecoin Tether (USDT) has surpassed its all-time high of $100 billion, registering a 9% year-to-date gain and widening the difference with its next-biggest competitor, USD Coin (USDC).
According to data from CoinGecko, USDT briefly reached the $100 billion milestone on March 4. The market capitalization of the cryptocurrency varies depending on the price and supply that are in circulation.
In terms of market capitalization, it is more than $71 billion larger than its next rival stablecoin, USDC, which is distributed by Circle and has also shown growth in value this year.
However, other data sources like CoinMarketCap show that Tether has not yet passed the $100 billion mark.
Tether's market capitalization places it slightly above the e-commerce behemoth Shopify and on par with the British oil and gas tycoon BP.
According to its website, Tether is a cryptocurrency that is based on the value of the US dollar and is accessible on 14 different blockchains and protocols.
After Ether ETH, it is currently the third-largest cryptocurrency by market capitalization. It has developed into a major blockchain-based alternative for cryptocurrency traders in need of a reliable asset.
The cryptocurrency market has rebounded over the last month, reaching a market capitalization of over $2 trillion, with Bitcoin experiencing a 50% price increase and reaching two-year highs.
The cryptocurrency market has rebounded over the last month, reaching a market capitalization of over $2 trillion, with Bitcoin experiencing a 50% price increase and reaching two-year highs.
The token's issuing company, Tether, claims that it backs each USDT token 1:1 with its independently audited reserves, which are mostly comprised of yield-bearing U.S. Treasury Bills (T-Bills), which are short-term loans made to the federal government of the United States.
The firm reported a record quarterly profit of $2.85 billion for the fourth quarter of 2023, with $1 billion coming from its T-Bills. Its $80 billion worth of T-Bill holdings were revealed in its fourth-quarter report, and it had previously declared itself to be among the biggest global purchasers of US government debt.
The firm reported a record quarterly profit of $2.85 billion for the fourth quarter of 2023, with $1 billion coming from its T-Bills. Its $80 billion worth of T-Bill holdings were revealed in its fourth-quarter report, and it had previously declared itself to be among the biggest global purchasers of US government debt.
In the cryptocurrency world, there has been debate about the quality of the assets supporting USDT. Tether has attempted to lower its exposure to some assets that are thought to carry a higher risk.
Tether promised in late 2022 that it would stop lending money out of its reserves by the end of 2023.
These plans never came to transpire; as of the end of 2023, Tether had $4.8 billion in loans outstanding, albeit that amount had decreased by almost $1 billion from the beginning of the year. It pledged to reduce the loans to zero in 2024 and asserts that they are completely collateralized.
These plans never came to transpire; as of the end of 2023, Tether had $4.8 billion in loans outstanding, albeit that amount had decreased by almost $1 billion from the beginning of the year. It pledged to reduce the loans to zero in 2024 and asserts that they are completely collateralized.
The Tron blockchain, which "has become a preferred choice" for money laundering and cyber fraud headquartered in Southeast Asia, is home to more than half of the USDT that is now in circulation, according to a January United Nations assessment.
Retaliating against the UN report, Tether says it overlooked the company's cooperation with law enforcement and the traceability of the token.
Retaliating against the UN report, Tether says it overlooked the company's cooperation with law enforcement and the traceability of the token.
Post a Comment