Most anticipated Ethereum received support from yet another popular sector within crypto space. Reports are that several stablecoin issuers announced their intentions to back ‘The Merge’. Stablecoin issuers include prominent names including Tether (USDT) and Circle (USDC), the top stablecoins within the crypto space.
On Tuesday, August 9th, 2022, Tether published a blog post announcing their support for the merge upgrade on Ethereum. The post titled ‘USDT Supports Ethereum Proof-of-Stake Transition’ explains the motive behind their support. It noted that Ethereum is coming close towards the blockchain history’s one of the most significant instances, while transitioning from proof-of-work to proof-of-stake.
In the blogpost, Tether explained their belief towards ensuring any disruption to the community should be avoided. It becomes more important for stablecoin issuer given their tokens used in different decentralized finance (defi) projects and platforms. The transition of Ethereum from PoW to PoS should not become a threat that could cause confusion and anyhow harm the ecosystem.
According to Tether, their concern for the community makes it important for them to look over the highly awaited event on the network. The blogpost further mentions the support of POS Ethereum in line. Tether believes that a seamless transition of the network would ensure the health of the DeFi ecosystem and related platform in the long term, it added.
Tether is the biggest stablecoin in the crypto market with almost ten times the volume in market trading in comparison to their closest contender. Additionally, it is also the Ethereum blockchain network’s most used stablecoin having three times the number of people holding USDT than any other stablecoin. Citing these facts, Tether supported their reason to consider supporting Ethereum merge as their responsibility towards the community and the developers.
Tether was not alone to come forward and called for support of the upgrade on the Ethereum network. Issuer of USDC stablecoin, Circle, also announced their support for the merge. On the same day, earlier than Tether’s announcement, Circle also highlighted their support for the upcoming event on Ethereum.
Source: https://www.thecoinrepublic.com/2022/08/10/tether-supports-the-merge-upgrade-on-ethereum-usdt-issuer-announces/