Tether’s CEO, Paolo Ardoino, has emphasized the significant role that USDT plays in increasing the demand for the US dollar in emerging markets. Ardoino revealed that more than 300 million people consider USDT as a digital dollar, providing access to financial services for individuals who are unable to use traditional banking systems. USDT not only simplifies money transfers and savings but also acts as a safeguard against hyperinflation and currency devaluation in developing countries.
Ardoino also highlighted Tether’s impact on the global finance landscape through its status as one of the largest purchasers of US Treasury Bills. With approximately $90.87 billion worth of these bonds as of March 31st, 2024, Tether’s integration with traditional finance is evident. These direct and indirect holdings demonstrate Tether’s strategic positioning within the global financial system.
Additionally, Tether’s stability and significant investments in American government securities strengthen the demand for U.S public debt while bridging the gap between cryptocurrencies and conventional markets.
USDT, with a market capitalization exceeding $112 billion, accounts for around 70% of the stablecoin market and surpasses Bitcoin in terms of trade volumes. Despite regulatory scrutiny, USDT remains highly sought-after in countries like Nigeria, Turkey, Thailand, and Brazil. The constant growth of USDT is further supported by a Chainalysis report, which indicates a high global appetite for stablecoins.