Tether’s USDT stablecoin currently controls over 75% of the stablecoin market, up from 55% in 2022, according to data released on September 16th.
This growth reflects the growing demand for USDT as a trusted intermediary between fiat currencies and digital assets.
With $118 billion in circulating supply, USDT is seeing steady adoption across the cryptocurrency market, backed by the company’s strong financial performance. Last month, Tether generated $400 million in revenue, strengthening its position as a leading stablecoin issuer.
Tether’s growing market share highlights its importance in the digital asset space, where investors often rely on USDT to hedge against market volatility. Stablecoins have become an important tool for traders looking to enter and exit cryptocurrency positions, especially during uncertain market conditions.
financial performance
Tether’s revenue generation goes beyond issuing stablecoins. The company reported a profit of $5.2 billion in the first quarter of 2024, which came from investments in assets such as Bitcoin and gold, which contributed $3.52 billion.
Operating income increased by an additional $1 billion. This diversified financial strategy has allowed Tether to strengthen its market leadership while expanding its reach.
The company is also focused on regulatory compliance and plans to double its workforce by mid-2025. A key part of this growth includes hiring more compliance professionals.
Amount recorded on the exchange
In another sign of Tether’s growing dominance, USDT balances on crypto exchanges reached a record high of $20.3 billion in August.
This surge suggests that investors are increasingly holding USDT to manage market risk or protect against future trading opportunities.
During market downturns, traders often convert volatile assets into stablecoins like USDT to protect against potential losses. On the other hand, USDT accumulation during more optimistic market conditions indicates readiness for investment opportunities when conditions improve.
Tether’s continued growth in both market share and compliance efforts signals its growing influence in the evolving digital asset landscape.
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