Tether's largest stablecoin, USDT, is continuing to grow, further consolidating its dominance in the market.
According to Bein Crypto, USDT’s market capitalization is approaching $120 billion for the first time.
Last week, Tether minted $1 billion worth of USDT on the Ethereum blockchain, bringing its market cap to $119 billion.
Blockchain platform SpotOnChain revealed that Tether has minted $35 billion worth of USDT in the past year.
This growth has solidified USDT’s position as the largest stablecoin.
It is worth noting that USDT’s closest competitor, Circle’s USDC, is still very small, with a market share of less than one-third of Tether’s.
As of the second quarter of 2024, Tether held more than $97 billion in U.S. Treasuries and repurchase agreements. This makes the company the 18th largest holder of U.S. Treasuries in the world, surpassing countries such as Germany, the UAE, and Australia.
Stablecoins are one of the most practical applications of Crypto assets in the real world, providing a stable alternative to unstable digital assets.
These assets have seen significant adoption in emerging markets such as Nigeria, which are increasingly relying on them for savings, payments and cross-border transactions.
Notably, this has significantly increased Tether’s adoption, with the USDT stablecoin having over 350 million users worldwide.
According to Token Terminal, the company’s net profit exceeded $400 million in the past 30 days.
At the same time, Tether has also expanded into areas such as agriculture and reorganized its business into four divisions, including finance, data, education and electricity.
This diversification supports the company’s efforts to promote USDT issuance and invest in ventures such as artificial intelligence and BTC mining.
Despite its growth, Tether has also faced criticism.
Consumer research groups have expressed concerns about the risks posed by Tether’s business model, saying it could face significant user risks, and some market observers have also raised alarms about the company’s reserves.
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