The market supply of Tether (USDT), the largest stablecoin, has reached a new all-time high, surpassing the milestone of $84 billion. According to data from the crypto market intelligence platform IntoTheBlock, USDT’s circulating supply currently sits at $85.42 billion, representing a 22% year-over-year growth.
— IntoTheBlock (@intotheblock) November 5, 2023
Tether (USDT) is a stablecoin designed to facilitate the use of fiat currencies in a digital manner. It works to disrupt the conventional financial system via a more modern approach to money. As the first blockchain-enabled platform to facilitate the digital use of traditional currencies, Tether has democratized cross-border transactions across the blockchain.
The current number of USDT is nearing the supply’s all-time high recorded last May ($83B). Tether (USDT) has increased its supply by more than 22% this year, rising from $66 billion in January to the current $85.42 billion.
How Tether’s USDT Achieved a 22% Growth in 2023
The surge in Tether’s market capitalization is attributed to the increasing demand for financial freedom and the unique advantages offered by Tether tokens. The supply of the stablecoin issuer has seen a substantial increase on the TRON blockchain. This surge is attributed to market makers who have expressed a preference for it due to the high-speed transactions and low fees associated with transferring cryptocurrencies.
Alongside the escalating market cap, supply, and unwavering dominance of USDT, the cryptocurrency has experienced a remarkable increase in its prevalence on cryptocurrency exchanges. In the previous month, the quantity of USDT present on exchanges soared to figures last observed in March 2023, indicating a 40% rise in accessible USDT since June 13.
As noted earlier, the proportion of USDT on exchanges escalated from 17.6% to approximately 25%, while the holdings of the ten largest addresses swelled from $7.30 billion to $9.42 billion within three months.
This growth in holdings signifies that a specific group of market players was augmenting their stakes in USDT, demonstrating a rising interest from investors keen to join or rejoin the crypto market. Such inflows imply that investors are gearing up to place buy orders at the current or lower price levels.