Sunday September 21, 2025 ▪
5
Min read ▪ by
The cryptographic token dollar machine has been rekindled. Following the 25 reduced base points decided by the Fed on September 17, Tether accelerated the emission of the USDT. In total, 5 billion struck in eight days, including an additional 1 billion on September 19 on Ethereum, according to Onchain’s objective. Timing is not a coincidence: when the cost of money drops, the thirst for liquidity in the cryptographic markets increases instantly.
Brief
- Tether issued USDT 5 billion in eight days, reacting to the drop in Fed rates.
- This massive injection provides for a renewed appetite for the risk on the cryptographic markets.
- The rebalancing between Ethereum and Tron reflects the pragmatic dynamics between the cost and the depth of the market.
A strong signal for cryptographic markets after the Fed
The first monetary relaxation of 2025 clarified the situation: the Fed now favors risk management against a weakening of the labor market. Translation on the side of digital active ingredients: more margins, more risk appetites, so more dry powder in the stablecoins to supply the control books. This is aligned with Coinbase analyzes. The offices are always preparing for it before everyone else.
In this context, Tether’s rhythm becomes an crypto indicator in itself. The 5 billion struck in eight days, with another billion on Ethereum on September 19, indicates a repositioning of investors before the next macro appointment. It’s fast. And it’s intentional.
Important shade, however: part of these amounts can be of the famous “authorization but not issued” (tokens struck on the side of the treasure to serve as a stock, not yet injected into circulation). This mechanism, detailed several times by Paolo Ardoino, prevents the interpretation of each mint as an immediate net influx in the cryptography market.
Where do the dollars of tokens go? Rebalancing between Ethereum and Tron
The last wave slightly revised the cards between the channels. According to aggregated data from Defillama, cited by Specialized Press, Ethereum now hosts around 81 billion USDT (≈ 45% of the offer), ahead of TRON at 78.6 billion (≈ 43.7%). This change is not trivial: when the activity DEFI on ETH warms up, the request for USDT issued on Ethereum (ERC-20) increases mechanically.
Why is it going? Tron retains the advantage of minimum transaction costs, decisive for retail (general public) and transfers between exchanges. Ethereum, meanwhile, concentrates the composibility and depth of the institutional challenge. As soon as the chain yields are widening or perpetual contracts move via the bridges, the needle returns to ETH. It is cyclical and above all pragmatic.
Above this microgeography, the macro: the Stablescoin market weighs around 290 to 293 billion dollars, and the USDT remains “the elephant in the room” with around 172 billion, or almost 59% of market share. These dominance structures propagate, access to liquidity and risk transmission speed in the cryptographic ecosystem.
Consequences of the market: liquidity, differences and discipline
Practically, a rapid expansion of the USDT translates into better depth on CEX control books and a compression of Spreads on the pairs cited in Tether. The base on term contracts can tighten upwards, especially if the arbitration of cash and reactive transport after the Fed’s decision. The flows are then visible in the metrics for the deposit of exchanges and on the transversal bridges.
Practical strategy: Monitor the trajectory of the large mints of Tether portfolios with the main platforms. If the tokens remain on the side of the treasure (“authorized but not delivered”), the effect on prices is more diffuse. If they quickly migrate to addresses associated with exchanges, the impact on punctual liquidity and perpetual contracts is generally more direct. Do not confuse the operational stock and the immediate purchase pressure.
On the adoption side, Tether claims a strong traction: more than 3.5 million new portfolios having at least 1 USDT over 90 days, almost the triple of the competitors’ cumulative growth, according to Paolo Ardoino. This confirms the role of the USDT as a gateway and liquidity refuge in the turbulent phases. But complete: the concentration of the Stablescoin market also creates a systemic dependence. The diversification of assets in stablescoins, segmentation by use (payments vs collateral vs) and monitoring of PEG differences remain healthy reflexes.
Maximize your Consribune experience with our “Read to garn” program! For each article you read, earn points and access exclusive rewards. Register now and start gaining advantages.
Fascinated by Bitcoin since 2017, Evariste continuously sought the subject. Although his initial interest has been in the trade, he now actively seeks to understand all the advances centered on cryptocurrencies. As editor -in -chief, he strives to regularly deliver high quality work that reflect the state of the sector as a whole.
Non-liability clause
The points of view, the thoughts and opinions expressed in this article belong only to the author and must not be considered as investment advice. Do your own research before making investment decisions.
