Tether overwhelms all other stablecoins, with total assets approaching $100 billion

[ad_1]

After outstanding growth over the past six years, Tether’s total assets are not far away from US$100 billion.

According to the Transparency Report, the company’s total assets currently stand at $95.25 billion. Of this, $92 billion is USDT, a stablecoin pegged to the U.S. dollar.

Source: Tether

Tether continues to grow

On January 3, Tether re-signed with VanEck strategic advisor Gabor Gurbacs confirm He expressed his support for the company, adding:

“Just like the Bitcoin ETF, a lot of people thought I was crazy. In the spring of 2017, when I told Wall Street that Tether had the potential to reach $100 billion, USDT had a market cap of less than $100 million.”

Since the beginning of 2018, just six years ago, Tether’s market capitalization has increased by 6,560%.

The investment guru offered some of the lessons he’s learned from continuing to support Tether, which appears to be transitioning to a CBDC.

“Investors often underestimate exponential innovation,” he stressed, before adding that small, talented but tenacious teams can deliver exponential innovation.

“Listen to the guy who made that ambitious project/prediction, it sounded crazy at the time.”

On January 3, Tether Chief Technology Officer Paolo Ardoino briefly introduced Announce The company had good fourth-quarter results.

Tether profited from high yields on U.S. Treasuries and used some of the profits to buy Bitcoin.

According to its reserves report, 85.7% of Tether’s reserves are “cash and cash equivalents and other short-term deposits.”

Among them, 76.4% are U.S. Treasury bonds, 11% are overnight reverse repurchase agreements, and 11% are money market funds.

Stablecoin Ecosystem Outlook

Currently, stablecoins account for 7.2% of the total cryptocurrency market capitalization of $132 billion. This proportion is down from 16-17% for stablecoins in 2022.

Tether accounts for the majority of this, with market dominance approaching 70%. Its supply has increased by nearly 40% in the past 12 months, while supply from its main competitors has declined.

Circle’s USDC supply has dropped 44% over the past year, reaching its lowest level since June 2021. There are only 24.8 billion USDC in circulation, with a current market share of nearly 19%.

MakerDAO’s DAI is the third largest stablecoin with a circulating supply of $5.3 billion, and TrueUSD (TUSD) is fourth with a circulating supply of $2.3 billion.