Tether (USDT) the largest stablecoin in the world, has increased its circulating supply after around 3 month decline, which might be an indicator of a slowly recovery of the crypto markets.
According to CoinMarketCap, the first mint of the stablecoin was about three months ago on Friday, and three more were there as well, with the latest on Tuesday. The injection of Tether have been small, however, lifting USDT’s market capitalization by 0.7% or under $500M.
Moreover, there is currently 66.3 billion USDT in circulation, according to the Tether transparency report. This brings the Tether a 43% of the total market share.
The supply of the stablecoin recorded an all-time high in early May, when it exceeded the level of 83 billion USDT. The Terra ecosystem latest collapse forced Tether to reduce the circulating supply, which decreased about 21% to a low of 65.8B in late July.
This situation enabled Circle the rival company to raise the its stablecoin USD Coin (USDC) market share, which currently dominate a 36% slice with a $54.5B market capitalization. Furthermore, the USDC volume on Ethereum flipped Tether’s for sometime, as the USD Coin stablecoin continues to catch up.
Changpeng Zhao, the CEO of Binance, commented on the stablecoins number poised to re-enter the markets, over the weekend, as he stated:
“3 of the top 10 are stablecoins, meaning there is a lot of ‘fiat’ sitting sidelines, ready to get back in. If people wanted to get out of crypto, most won’t hold stablecoins.”
The stablecoins are representing currently about 13.6% of the entire crypto market cap, which is too close to its all-time highest levels.
By the time of writing this article, the largest stablecoin Tether (USDT) is trading at $1.00 in green.