TON Network Sees USDT Surge to Over $1 Billion in Six Months
The partnership between The Open Network (TON) and Tether has resulted in significant growth for the USDT stablecoin, which surpassed $1 billion on TON within six months of collaboration.
This increase indicates the potential of their partnership, with USDT on TON rising by 670% according to a report from CryptoQuant. In May 2024, USDT on TON was valued at $130 million, which grew to $1.02 billion by November 2024.
Exponential Growth
Analysts noted an upward trend for TON as more investors adopt Tether’s stablecoin. The increasing preference for TON positions it as a significant player in the stablecoin sector, with expectations for continued growth in the stablecoin market.
Stablecoins are gaining traction globally, facilitating activities like cross-border transactions and personal payments. Data indicates that USDT accounts for 10% of all commercial transactions in South Korea.
Low Transaction Fee
According to CryptoQuant, the TON blockchain offers low transaction costs, making it an attractive alternative for stablecoin transactions. The median transaction fee decreased from $0.061 in June 2024 to $0.035 in October 2024, contributing to TON's rapid adoption among users conducting regular transactions.
USDT Expected To Expand
The USDT supply is currently around $120 billion, with predictions from CryptoQuant suggesting it could reach $200 billion during a bull rally. This growth is expected to drive demand for fast, low-cost blockchain networks like TON, enhancing the volume of USDT on the TON network.
“This growth will likely drive further demand for fast and low-cost blockchain networks like TON, leading to continued growth in the amount of USDT on the TON network,” the analyst added.
CryptoQuant anticipates that TON will have opportunities to expand within the stablecoin ecosystem through robust infrastructure and competitive advantages.
Featured image from Medium, chart from TradingView