More Upside? Tether Pushes Another $2B into Crypto Market

Leading stablecoin issuer Tether mints another $2 billion on the Ethereum network as fever pitch USDT demands emerge following the crypto market bullish outburst.

The incessant demand for stablecoins in the crypto market has resumed following a broader market’s resurgence. The surging demand is evident in the over $765 billion added to the crypto market in the past week.

With over 43% dominance, Tether’s USDT has been a crucial indicator of growing market demand. Blockchain analytic firm Lookonchain noted that the leading stablecoin issuer minted $2 billion on its Treasury two days ago, pushing them to exchanges amidst growing market demand.

Meanwhile, Tether has minted another $2 billion on the Ethereum network, its third on the chain in less than a week. Whale Alert confirmed that the stablecoin issuer created the USDT on Ethereum late Monday.

Notably, Lookonchain noted that Bitcoin surged to record highs following Tether’s $2 billion USDT mint two days ago. The fresh Monday mint has sparked speculation that the bullish event might further facilitate a Bitcoin uptrend.

Authorized But Not Issued Transaction

Tether’s CEO Paolo Ardoino confirmed the $2 billion minting on the Ethereum network, noting it was an authorized but not issued transaction. He said the USDT minted is for inventory replenishment on the blockchain and will be used for the subsequent issuance request or chain swap.

Notably, USDT demand has accelerated on the Ethereum network recently. Tether has now minted $5 billion USDT on Ethereum in less than a week, as on-chain stablecoin transactions on the chain surge amidst a blossoming crypto market.

Meanwhile, circulating USDT on the Ethereum network has reached $60 billion, with more than half of the minted USDT on Monday already in circulation. However, the Tron network remains Tether’s largest USDT holder, with $61.8 billion in authorized Tether’s stablecoin.

Tether’s Chain Swap Still In Play

Notably, Tether has continued its chain swap activities, moving multi-million dollars worth of USDT across exchanges. The stablecoin issuer announced on November 6 that it would resume the shuffle in partnership with major centralized exchanges.

Whale Alert pointed to several transactions in which top-tier exchanges moved millions of USDT to Tether’s Treasury and a reverse scenario. Notably, Ardoino confirmed all the transactions were part of the issuer’s chain swap activities.

For context, Binance moved $700 million USDT to the Tether Treasury on Monday. Two hours later, Whale Alert confirmed that Tether transferred $560 million back to the largest crypto exchange by trading volume.

A similar transaction was seen between Tether and Bitfinex and other unidentified wallets. Notably, Tether noted the chain-swapped USDT was moved to the Ethereum network.

Meanwhile, Tether now has $124 billion USDT in circulation. Tether’s trading volume has also surged 31% in the past 24 hours to $250 billion, more than double its circulating supply.