Tether ($USDT), the world’s largest stablecoin, continues to make headlines with record-breaking achievements. According to the data from Token Terminal, the circulating supply of $USDT on The Open Network (TON) has crossed $1 billion.
Alongside this, Tether’s overall market capitalisation has now exceeded $118 billion. These milestones serve as an indication of the growing dominance of $USDT in the cryptocurrency space, as well as the increasing adoption of TON.
Tether’s expansion on TON
The Open Network has seen rapid growth in the past few months. Despite some challenges faced by its original creator, Telegram, TON continues to expand under the management of the TON Foundation.
Launched by Telegram in 2018, TON was designed as a blockchain to support decentralised applications.
Over time, it has gained traction, especially with its integration into Telegram’s Mini Apps, which allow users to make transactions using $USDT.
The partnership between Tether and TON began in April 2024, with the aim of bringing USDT to TON’s blockchain. Initially, 60 million $USDT tokens were issued on TON, giving Telegram’s 900 million users access to the stablecoin.
To encourage adoption, the TON Foundation launched a programme that offered economic incentives, distributing 11 million $TON tokens to $USDT holders.
Within just five months, $USDT’s supply on TON has grown to over $1 billion. This growth shows the increasing use of TON and its integration into the cryptocurrency ecosystem.
At the same time, Toncoin, the native cryptocurrency of $TON, has also gained value, moving from the 11th spot in market capitalisation to the 9th position.
Tether’s overall market cap growing to $118 billion, up from $83 billion in September 2023 further cements its position as the leader among stablecoins.
Tether now controls 75% of the entire stablecoin market, making it the dominant force in this segment.
Stablecoins are digital currencies that are tied to a stable asset, usually the US dollar, to maintain a consistent value.
Tether’s supply makes up the majority of the $172 billion in dollar-backed stablecoins, with its closest competitor, USD Coin ($USDC), trailing far behind with a market cap of $35 billion.
The rising demand for stablecoins has been clear. The number of active wallets using stablecoins has doubled since 2022, and transaction volumes reached $2.5 trillion in the first half of 2024 alone.
Tether’s growing dominance shows just how important $USDT has become in the world of digital currencies. As one analyst put it, “Tether has consistently outperformed its rivals, and this is reflected in its market dominance”.
In addition, Tether’s share of the stablecoin market has grown from 55% in 2022 to its current 75%, showing its ability to capture a larger slice of the market over time. As $USDT continues to grow, its influence in the crypto market is becoming undeniable.
Investments and future plans
Tether’s success is not only reflected in its stablecoin achievements but also in its financial investments. In 2023, Tether reported a profit of $6.2 billion, which surpassed the earnings of global investment giant BlackRock.
Tether has been investing in emerging technologies, including a $200 million stake in Blackrock Neurotech, a company developing brain implants. Tether has also built up a significant Bitcoin reserve, now holding over 75,000 $BTC.
Beyond these investments, Tether has been expanding into new sectors. Recently, Tether made its first $100 million investment in agriculture, acquiring a 9.8% stake in Adecoagro, a major agribusiness company in Latin America.
On the regulatory side, it has made progress as well. A recent ruling by the High Court of England classified $USDT as property, providing greater legal clarity for the use of the stablecoin in the UK. This decision marks an important step towards better cryptocurrency regulation in the country.
Tether is also taking steps to promote financial education and access. In collaboration with Celo’s blockchain, Tether is launching a global learning programme on how to use $USDT. The programme will be rolled out in countries such as Nigeria, South Africa, Brazil, Turkey, and Vietnam. As Tether’s CTO, Paolo Ardoino, noted,
“This initiative is about empowering people with financial knowledge and tools, particularly in regions with limited access to the global economy”.
