The company behind USDT says the growth of crypto’s largest stablecoin by market capitalization has been fueled by sharks and minnows rather than whales.
In a recently released Tether Insights publication, USDT issuer Tether highlights the “extraordinary” growth of USDT in crypto wallets.
“The growth of USDT wallets has been extraordinary, increasing 71% last year and 129% the year before, driven primarily by wallets holding less than $1,000. This rise accelerated after the collapse of FTX when users opted to hold their USDT themselves rather than keeping it on centralized exchanges.
USDT’s momentum continued even after competitors like USDC and DAI unpegged during the collapse of Silicon Valley Bank, solidifying its position as the stablecoin of choice for users around the world .
According to Tether, the large amount of low balance wallets containing USDT proves the reliability and practical usefulness of the stablecoin.
“The prevalence of low balance wallets is a feature, not a bug, highlighting the accessibility of USDT to users who might otherwise be unbanked. Additionally, the 29% reactivation rate of these wallets demonstrates that many users return to holding USDT whenever they have funds, highlighting its reliability as a financial tool for those with limited access to services traditional banking.
The largest stablecoin by market capitalization currently has a market capitalization of $1.38 billion.
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