Over the past eight days, stablecoin giant Tether has embarked on an aggressive USDT minting spree, injecting a substantial $8 billion into the cryptocurrency market via the Tron and Ethereum blockchain networks. This significant influx of liquidity could provide the much-needed fuel for a broader crypto market rally, potentially breaking it free from its recent consolidation phase.
The latest move saw Tether mint an additional $1 billion USDT on the Tron blockchain just hours ago, underscoring the company’s commitment to expanding its stablecoin supply. On-chain data reveals that since April 28th, Tether has increased its USDT in circulation by a staggering $8 billion across both Tron and Ethereum. This expansion further solidifies USDT’s dominance in the stablecoin landscape, outpacing competitors such as USDC, BUSD, and RLUSD.
Tron Nears Ethereum in USDT Circulation Amidst Growing Demand
According to Tether’s transparency report, the total USDT issued on the Tron network has now reached $71.4 billion. This figure is rapidly approaching the $72.8 billion USDT currently circulating on the Ethereum network. With just a $1.4 billion difference, Tron could soon reclaim its position as the leading network for USDT, a title it has held intermittently over the past two years.
Beyond Tron and Ethereum, Solana stands as the third-largest network for USDT, boasting a circulating supply of $1.9 billion. Overall, USDT’s total circulation has reached an all-time high of $149.4 billion, marking an impressive 8.6% increase since the beginning of the year. This surge has allowed USDT to capture a commanding 61% share of the total stablecoin market. Tether CEO Paolo Ardoino has also expressed optimism that a potentially crypto-friendly Trump administration could further bolster the firm’s market share in the coming years.
Also Read: Tether to Launch US-Regulated Stablecoin, Expanding Market Presence
USDT Injection and External Factors Hint at Bullish Momentum
The recent injection of $8 billion in USDT comes at a crucial time for the cryptocurrency market. With Bitcoin hovering around the $94,500 mark and altcoins experiencing a period of consolidation, this fresh capital could act as a catalyst for renewed bullish momentum.
Adding to this optimistic outlook, U.S. Treasury Secretary Scott Bessent has called on the Federal Reserve to consider reducing interest rates, fueling speculation of a significant bull run in the crypto market. Furthermore, U.S. President Donald Trump’s announcement of potential tariff reductions on China could also positively influence market sentiment. These macroeconomic factors, combined with Tether’s substantial USDT minting, suggest the crypto market may be poised for a significant upward movement in the near future.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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