• CoinGecko data show that Tether’s USDT reached the 100 billion dollar market cap milestone for the first ever time.
  • USDT has grown by $2 billion in the last week due to increased demand for cryptocurrency trading liquidity.

Data from CoinGecko show that USDT briefly reached $100 billion for the first in its history.

‘s Tether website states that the USDT token count is around 99,5 billion. However, on some exchanges, a small price increase over the tokens’ $1 price was enough to raise the market capital above this level for a brief period.

BTC Price Index and Live Chart – CoinDesk”>(BTC) nearer to a record high.

USDT, the most popular Stablecoin or crypto token, is a stablecoin whose value is tied to another asset. It is also a crucial piece of plumbing for the digital asset market. It acts as a bridge for traditional fiat money to blockchain-based markets, providing liquidity that can be used in trading and lending. In developing regions , it is increasingly used to transfer money and save in.

Read more: Stablecoin Market Capital Hits $140B – Highest since 2022 Amid USDC Resilience, Tether Growth

The history of Tether dates back to 2014. It was then that the first dollar-backed digital currencies called “realcoins” were issued on the Bitcoin network in order to facilitate the transfer of fiat currency on the blockchain. USDT Price Index and Live Chart – CoinDesk”>(USDT). Since then, USDT is now available on multiple blockchains. Tether also launched stablecoins that are pegged to gold or other currencies.

USDT’s value soared during the bull crypto market of 2020-2021, rising to $83 billion, from $4 billion, by mid-2022. It has since become the preferred trading pair for cryptocurrency prices at centralized exchanges.

It has received some scrutiny for its opaque reserve management. At one time, the company had risky assets such as Chinese Commercial Paper, Credit, and a complete lack of independent audits, a more thorough financial analysis than just attestations. It says that it is now backed by more secure investments, such as U.S. Treasury Bills, repurchase agreement and deposits in money-market funds.

USDT has seen a rapid rise in popularity in the past year, despite mounting concerns over Tether’s reliability during the brutal bear market of 2022 in crypto. This was after the regulatory crackdown against Binance, which issued BUSD, and the U.S. regional banking crisis that hit Circle, who issued USDC, in March.

USDT now holds more than 70% of the stablecoin market cap. The company also became very profitably as a result of rising U.S. rates. It reported $2.85 billion profits in the last three months, primarily from the yields from its huge U.S. Treasury holdings.

Sheldon Reback is the editor.