Tether, a stablecoin issuer, issued one billion USDT tokens on the Ethereum network on Thursday.
Tether CTO Paolo Ardoino described the minting as an “inventory replenish.” It was “an authorized but not issued transaction,” he continued, “meaning that this amount will be used as inventory for the next period of issuance requests and chain swaps.”
The December quarter of last year saw Tether earn $700 million in earnings. The previously mentioned profit increased Tether’s reserves. At that time, it had total consolidated assets of about $67.04 billion and total consolidated liabilities of at least $66.08 billion. There was a minimum $960 million surplus reserve in total.
Ardoino stated last month that the business anticipates an additional $700 million in surplus reserves in the first quarter. Tether’s surplus reserves would then reach $1.66 billion. Additionally, it indicates that the amount will cross $1 billion for the first time in a situation like this.
Tether has performed admirably despite the macro-instability. Recently, Ardoino emphasized that Tether is profitable at a time when banks are collapsing and said that it is the safest alternative for customers to move money to.
On the Ethereum blockchain, Tether holds a strong position among stablecoin issuers.
Over 35 billion tokens in USDT are now available on Ethereum. Less than 30 billion tokens are held by its closest rival, the Circle-issued USDC. The amount of Binance USD tokens, which are not presently being minted, is less than seven billion.
In addition, it’s important to remember that the total number of USDT addresses ever established just topped 30 million. The curve has only been on an upward trend, as illustrated below, highlighting the steady increase in users.
Tether’s market dominance is further strengthened when the focus is expanded to include the whole stablecoin supply across several blockchains.