Tether Treasury Mints $1 Billion USDT on Tron Network
Tether Treasury has recently minted 1 billion USDT on the Tron network, marking another billion-dollar milestone for the stablecoin issuer. This is part of Tether’s inventory replenish process on Ethereum and will not affect the overall market capitalization of USDT as it is classified as an authorized but not issued transaction. The newly minted USDT will serve as inventory for future issuance requests and chain swaps, which allow traders to move their digital assets from one blockchain to another.
Santiment Advises Traders to Monitor USDT and USDC Supply
Market analysis firm Santiment suggests that traders should closely monitor the supply of tether (USDT) and US dollar coin (USDC) on exchanges as an indicator of potential price movements in the cryptocurrency market. Fluctuations in the supply of these stablecoins can signify significant developments and hint at possible market trends or upcoming events.
USDT Trading Deviation and Legal Challenges on Binance.US
Paolo Ardoino, Tether’s CTO, addressed concerns about the deviation from the dollar peg in USDT trading on Binance.US. He stated that this deviation is exclusive to the exchange, where there is a widespread -8% spread affecting all cryptocurrencies. Ardoino attributed this situation to the ongoing legal challenges faced by Binance.US, which may be discouraging market makers from engaging in arbitrage. On Binance Global, USDT is trading at a mere one basis point above the dollar.
Key Points:
– Tether Treasury has minted 1 billion USDT on the Tron network for inventory replenish purposes.
– Santiment advises monitoring the supply of USDT and USDC on exchanges for potential price movements.
– USDT trading deviation from the dollar peg is exclusive to Binance.US due to legal challenges.
– USDT holds 65% of the total market value of stablecoins, while USDC holds 21.4%.
– USDT’s market value is up $2.6 billion in the last three months, while USCD has shrunk by $4.6 billion.
Hot Take:
The recent minting of 1 billion USDT by Tether Treasury highlights the continuous growth and demand for stablecoins in the cryptocurrency market. However, concerns surrounding the deviation from the dollar peg and legal challenges on platforms like Binance.US indicate potential risks and the need for careful monitoring. Traders should stay vigilant and utilize market analysis tools like Santiment to make informed decisions.
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