Tether (USDT) Still Dominates the Crypto Market, Maintaining as Most Popular Stablecoin Choice
During the crypto winter of 2018, we saw the rise of numerous stablecoin such as DAI, USD Coin (USDC), TrueUSD (TUSD), Paxos Standard (PAX), and Gemini Dollar (GUSD) among others. However, despite this, Tether maintains its dominant position in the crypto market.
Previously we reported how Diar research had reported that USDT had starting to lose its market share to other cryptos especially, DAI of MakerDAO ecosystem that has been gaining traction but due to its inability and despite constant attempts to control its dollar peg, the controversial stablecoin USDT is still ruling the market.
TradeBlock, an institutional trading tools provider and digital currency researcher shared its findings on Tether dominance stating that it has been growing.
“USDT (Tether) continues to dominate stablecoin trading volume. In the figure below we diagram trading market share for the bitcoin-stablecoin pair, across various exchanges. Despite concerns, Tether has gained greater market share over the first few months of the year.”
The 8th Largest Crypto Remains A Popular Choice
At the time of writing, Tether has been trading a bit above its $1 dollar peg at $1.01 with 24-hours gains of 0.22 percent. In the BTC market, it is in the red by 0.32 percent while in the OMNI market, it is in the green by 6.43 percent.
What's your stablecoin of choice?
(Please share why you prefer it below in comments)
— Josh Rager 📈 (@Josh_Rager) April 16, 2019
With a market cap if $2.7 billion, Tether is the 8th largest cryptocurrency that has 2,676,665,948 USDT in circulating supply. The all-time low, this stablecoin has ever gone was at $0.8498 USD in February 2017 as per Coinmarketcap data while the all-time high had been in late May 2017 at $1.21 USD.
The highest amount of USDT volume of 11 percent is traded on BitMax against PAX and then USDC on the same platform. After this USDT trading volume is primarily against the leading cryptocurrency BTC.
Just recently, a total of ~$13 million USDT was also transferred from Tether’s treasury to exchanges viz. Kraken and Huobi. China also saw people buying USDT on premium in order to acquire some Bitcoins.
Not long back, the controversial stablecoin came clean on its every USD token being pegged by $1 US Dollar as it clarifies on its website apart from cash equivalents, the reserves also include assets and receivables from loans made by Tether to third parties.
Tether is no stranger to controversies and this time as well as we reported when Bitcoin surged more than 21 percent on April 2 in an hour, many research platforms and people speculated that this was caused by yet again Tether. An increase in the circulation of USDT by 200 million was also seen during that time.
While Bitcoin price and Tether connection could never be determined with accuracy, Tether is constantly working on driving its usage. The latest one has been its partnership with another popular cryptocurrency Tron (TRX) to provide the users with a faster and secure experience.