Name Price24H (%)
Bitcoin (BTC)
$10,688.79
-0.28%
Ethereum (ETH)
$352.21
0.90%
XRP (XRP)
$0.242029
4.02%
Litecoin (LTC)
$45.99
2.50%
Tether Records Evident Growth in the Past Year, Promises to ...
HOT UPDATES, NEWS

Tether Records Evident Growth in the Past Year, Promises to do More in 2020

Since Tether’s (USDT) migration to other networks beside the BTC-based Omni protocol, significant shifts have taken place seeing the heavily-printed stablecoin rise to prominence also via Ethereum’s ERC20 standard and Tron’s TRC20 implementation.

Join the fastest growing network on Telegram

Ethereum-based USDT supply currently sits at over 2.2 billion tokens, while the Omni equivalent stands at around 1.5 billion. The Tron network adds over 900 million tethers to this mix, with the popular and controversial USDT stablecoin showing no sign of slowing down.

Growth of a Stablecoin

Tether’s expansion to other networks from the Omni Layer since its creation in 2014 is testament to its almost ubiquitous popularity. An asset seen as enabling stability and liquidity in the typically volatile context of crypto trading.

Tether has not been without its skeptics and detractors, however. From alleged market manipulation involving ties to Bitfinex, to terms of service revisions detailing that the asset is no longer backed only by dollars, but also by “other assets and receivables from loans made by Tether to third parties,” those scrutinizing the coin have had more than a few reasons to raise an eyebrow.

USDT’s market cap increased over $2 billion in 2019, and the company minted a reported 1.7 billion coins. Image source: https://coinmarketcap.com/currencies/tether/

That notwithstanding, growth on the ERC20 and TRC20 standards shows that tether retains demand even when not associated with the Bitcoin Core protocol. Since the announcement of TRC20 tether in March 2019, USDT supply on the Tron Network has risen to over 900 million tokens.

Tron USDT Sees Fast Growth

In October 2019, the supply of USDT on the Tron network made up almost 12% of all tethers. Fast forward to January, 2020, and the total supply of Tron USDT is 916,550,610.601 at press time. Given that the supply of USDT across all its various networks is 4,207,771,504, this means that TRC20 tethers now make up nearly 22% of the total supply of tokens.

READ  BIS Suggests Compliance Method for Regulating Blockchain

 

Tether on the Platform of Other Networks

Last summer, when ERC20 tether transactions flipped the number of USDT Omni transactions, the crypto space took notice. The amount of tether on the Omni Layer at that time (2.5 billion) has since dwindled to just 1.5 billion at press time, with the ETH network currently housing over 2.2 billion tethers on chain.

The EOS network is also home to the stablecoin, and sees tether’s circulating presence there at just over 5 million tokens, with a Bitfinex-managed account holding 88.6% of this supply. Where Tron is concerned, a Binance account is the top holder, and on the ETH network the top holder is Huobi. USDT also has a presence on the Algorand blockchain.

What Does the New Year have in Store for Tether?

It will be interesting to see how tether develops into the new year, as the outcomes of various legal battles, potential chain swaps and migrations of USDT to other networks, and the long-debated claims of the asset actually being redeemable for dollars, all stand to be brought to greater clarity.

Also, Justin Sun, founder of Tron and CEO of peer-to-peer file sharing protocol BitTorrent, has added one more firm to his portfolio: blockchain-based live streaming platform DLive.

Leave a Comment

Your email address will not be published. Required fields are marked *