Tether Issues $3 Billion USDT, Tron Accounts for 92% of Transactions
Stablecoin inflows in the crypto market increased significantly in November, coinciding with Donald Trump’s victory and a broader market rally. On November 23, Tether issued an additional $3 billion worth of USDT tokens on the Ethereum and Tron blockchain networks as Bitcoin bulls aimed to push BTC prices above $100K.
According to Arkham Intelligence, Tether minted $2 billion USDT on the Ethereum blockchain and $1 billion USDT on Tron shortly after. Tether CEO Paolo Ardoino stated that by 2025, Tether aims to achieve hyper-productivity to fulfill its vision.
Lookonchain reports that Tether has minted approximately $13 billion in USDT since November 8. High volumes of newly minted stablecoins are viewed as bullish signals, indicating potential price increases, while low volumes suggest bearish activity and reduced market engagement.
Stablecoins like USDT enable users to purchase cryptocurrencies and cash out positions, driving demand through increased trading activity.
Tron Dominates Most of Tether's USDT Transactions
Tron’s native cryptocurrency TRX has shown strong product-market fit for stablecoin applications, with the TRON blockchain processing 92% of all USDT transactions. Despite holding $60 billion in USDT, TRX's market cap is only $17 billion. TRX-based USDT is gaining popularity for global trade due to fast and low-cost remittances. CryptoQuant's CEO commended Justin Sun for creating a robust global stablecoin trade remittance system.
In 2024, Tether has been periodically issuing USDT, with its market cap rising nearly 50% from $90 billion at the start of the year to $132 billion now. This increase indicates USDT's role as a vital liquidity provider in the ongoing crypto market rally.
Tether is also exploring digital asset tokenization. It launched a new platform called Hardon to simplify asset tokenization, making it easier to convert physical or traditional financial assets into digital tokens.