Stablecoin provider Tether has announced its plans to collaborate with a leading cryptocurrency exchange for the chain transfer of 1 billion USDT to the Tron network, enhancing interoperability among supported chains.
Details of the Chain Transfer
On January 6, Tether revealed via its X account that it would coordinate with a top-tier third-party exchange for the transfer of 1 billion USDT. This operation involves moving a portion of the stablecoins held in cold wallets to the Tron blockchain. This will not affect the total USDT supply but will optimize liquidity across different networks.
Increase in Bitcoin Reserves
Meanwhile, Tether has positioned itself among companies increasing their Bitcoin reserves by adding 7,629 BTC. Funds transferred after a nine-month inactivity from Bitfinex raised Tether’s total Bitcoin holdings to 82,983 BTC, valued at approximately 7.68 billion dollars.
Market Dominance of USDT
With a market value exceeding 137 billion dollars, USDT maintains its leading position in the stablecoin sector. Its main use cases include payments, trading, and cross-border transactions, reflecting a 69% increase in the 24-hour trading volume, which reached 107 billion dollars.
Tether's decision to transfer USDT to Tron emphasizes its commitment to maintaining sustainable liquidity among supported networks. However, the company faces challenges in sustaining its market value amidst new regulations.
