Tether’s market value has surpassed $40 billion, having increased tenfold in the last year.

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As crypto appetite grows, the market’s leading stablecoin, USDT, has hit yet another significant milestone.

Tether (USDT), the world’s most liquid stablecoin, reached $40 billion in market capitalisation on Wednesday, reflecting the year-long exponential rise in cryptocurrency investment.

According to CoinGecko, Tether’s market value hit $40.1 billion at its peak on Wednesday, rendering it the fourth-largest crypto asset behind Bitcoin (BTC), Ethereum (ETH), and Binance Coin (BNB).

Tether is four times higher than the USD Coin (USDC), which has a market value of about $10 billion, in terms of stablecoin rankings. According to Messari, USDT supremacy is currently about 67 percent.

Tether’s market capitalisation has increased by a factor of ten in the last year, reflecting the phenomenal success of the cryptocurrency market. The estimated crypto market cap reached $1 trillion for the first time in January, before reaching $1.8 trillion earlier this month.

Since its availability represents the market’s appetite for cryptocurrencies, USDT is regarded as a bellwether stablecoin. On several global exchanges, including Bitfinex, which has one of the most liquid BTC markets in the world, USDT is the quotation currency for cryptocurrencies.

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Nonetheless, the stablecoin has been the target of extreme criticism in the past due to reports that it is just closely pegged to the US dollar. Its connections to Bitfinex, a leading cryptocurrency exchange, have also drawn a lot of attention to USDT.

Most of the confusion, anxiety, and scepticism were alleviated earlier this month when Bitfinex and Tether reached a settlement with the Office of the New York Attorney General in a lawsuit against Tether. As part of a compromise, the firms were required to pay $18.5 million and to disclose their reserves every quarter for the next two years.

 

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