Tether, the company behind $USDT, the world’s biggest stablecoin, has hit another major milestone.
On 23 November 2024, it created $3 billion worth of $USDT, tokens, pushing its total market value to an all-time high of $132 billion.
This issuance was split between two popular blockchains—$2 billion was created on Ethereum, and $1 billion on Tron. These figures, provided by Arkham Intelligence, highlight the scale of Tether’s recent activity.
This minting is part of a larger trend. Data from Lookonchain shows that since 8 November, Tether has issued about $13 billion in new $USDT. Much of this growth is tied to the recent surge in cryptocurrency trading.
Bitcoin’s rally, nearing record prices, has been a significant factor in driving Tether’s demand. Its value has risen sharply in recent weeks, peaking at $99,600 on 22 November before settling at $98,337.
Tether’s CEO, Paolo Ardoino, explained that the company’s ability to mint such large amounts of $USDT reflects its efforts to keep up with growing market demand.
“This growth is a response to the euphoria in the crypto market”, Ardoino said in a post on X.
A post-election boost
The recent rise in Bitcoin’s price and Tether’s activity appears closely tied to the outcome of the US presidential election on 5 November.
Donald Trump’s victory sparked optimism within the crypto industry, as his administration is expected to be favourable to cryptocurrency regulations.
In the days following the election, Bitcoin’s price surged from $69,000 to nearly $100,000. This sharp rise has led to increased demand for stablecoins like $USDT.
These digital tokens are essential in the crypto market, acting as a bridge for traders. Stablecoins make it easier to enter and exit cryptocurrency positions, which becomes especially important during periods of high market activity.
Tether’s operations have also been supported by Cantor Fitzgerald, a major financial firm managing the US Treasury reserves that back $USDT .
This relationship took on added significance when President-elect Trump appointed Cantor Fitzgerald CEO, Howard Lutnick, as his Commerce Secretary on 19 November. This appointment further solidified the firm’s influence in the crypto space.
Expanding $USDT adoption
Beyond its stablecoin growth, Tether is making significant strides to expand $USDT’s reach.
Recently, Tether partnered with key platforms to make $USDT available on the Ton Blockchain and Brazilian exchanges such as NovaDAX and Brasil Bitcoin.
In addition to partnerships, Tether has launched a new platform called Hadron, designed to simplify the process of tokenising assets.
Tokenisation involves converting physical or financial assets into digital tokens that can be easily traded on blockchain networks.
Hadron supports a variety of assets, including stocks, bonds, stablecoins, and loyalty points. This platform is aimed at a broad range of users, from governments and institutions to private companies.
Tether sees Hadron as a way to shape the future of digital assets. Ardoino outlined the company’s ambitions for the coming years, saying: “In 2025, Tether will need to achieve hyperproductivity to realise our grand vision”.
As the crypto market continues to grow, Tether is solidifying its role as a key player. The introduction of additional Tether into the market could help create a more stable and efficient trading environment.
Increased liquidity reduces the market’s vulnerability to manipulation by large players, promoting a fairer and more balanced ecosystem.
This also supports more reliable price discovery, where asset prices are determined by genuine supply and demand.
Higher liquidity levels can also boost confidence among institutional investors, many of whom have hesitated to enter a market they perceive as unstable or overly volatile.
With stronger liquidity, the market becomes more appealing to these larger players, potentially driving further growth.
Tether’s recent minting of $3 billion in USDT is a significant step that could positively impact the cryptocurrency market.
By enhancing liquidity and trading activity, it not only supports the current market but also sets the stage for long-term expansion and development.
