Tether follows a “1 for 1” reserve policy, claiming that each USDT token is equal to one US dollar. So, Tether Limited claims that one US dollar is held in reserve for each Tether token they hold. This allows Tether to offer stable value and could be an attractive option for those looking to hedge against volatility in the cryptocurrency world.
However, Tether has caused some controversy over time. The company has been criticized for not always being able to verify the full extent of its reserves, leading to concerns about a lack of transparency. However, it can be said that Tether continues to play an important role in the cryptocurrency market and has the highest trading volume on many exchanges.
According to a representative of the company, "this simply means a redistribution of liquidity". In response to a message from the Whale Alert account warning of large-scale movements in cryptocurrencies, Paolo Ardoino wrote that the release of 1 billion USDT has been approved, but the tokens themselves have not yet been issued.
According to the top executive, these stablecoins will serve as a reserve for stablecoin issuance and token transfer requests between blockchains. The issuance of 1 billion USDT based on Tron demonstrated the popularity of the stablecoin on the Tron network and the high demand due to Tether having previously issued a large amount of tokens.
USDT capitalization is growing faster. In the last three months, the indicator increased by $ 2.6 billion, and at the same time, the capitalization of the main rival USDC fell by $ 4.6 billion. USDT, which is much ahead of its other stable coin competitors in every aspect, improves itself day by day in every aspect.
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