Implications of Tether's Recent USDT Minting and Market Speculation
Tether's Recent USDT Minting and Its Market Implications
Through its treasury, Tether, the issuer of USDT, has minted a significant amount of its stablecoin. On-chain data reveals that Tether Treasury minted 1 billion USDT on May 16, at 16:50 UTC.
Paolo Ardoino, Tether’s CEO, clarified the context of this substantial minting.
Meaning that this amount will be used as inventory for next period issuance requests and chain swaps.
The last time Tether minted USDT was on April 16, when the market experienced a liquidity drain. According to a report from the on-chain analytical platform Lookonchain, Tether Treasury has minted 31 billion USDT in the past year. It minted those amounts on the TRON and Ethereum blockchains.
Interestingly, Tether minted these USDT when Bitcoin’s (BTC) price corrected to the $64,600 range. Data from CryptoQuant reveals a high correlation between USDT supply and Bitcoin price movement, leading to an increase in volume and a dynamic environment for the Bitcoin price.
Comparison of USDT Issuance History Data with Bitcoin's Price (Year-on-Year)
Despite this speculation, Bitcoin's price has stabilized between $64,000 and $66,000 in the last 24 hours.
- Last week, BTC fluctuated between $60,000 and $62,000 until the release of US inflation data.
- BeInCrypto reported a jump in Bitcoin's price from $62,000 to $66,000 after April's inflation data release suggests inflation might be slowing.
The post Tether Treasury Mints 1 Billion USDT, Crypto Market Awaits Impact appeared first on BeInCrypto.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.