Press "Enter" to skip to content

Tether and stablecoins gain traction amid the Covid-19 crisis

Tether is a digital currency that is backed by USD (1 USDT = 1 USD). The narrative around this token is that no one is really convince of the backing.

I wrote, a year ago, that stablecoins are the future. Obviously, it has a lot to do with the fall of bitcoin this last month amid the Covid-19 crisis. But there was a 1.5Md$ increase in one go. That’s interesting. It is now the fourth biggest coin on coinmarketcap.

Source: https://coinmarketcap.com/currencies/tether/

Now, I was more bullish on USD Coin (USDC). There was a similar increase in relative term, but 10 times smaller in absolute amount.

Source: https://coinmarketcap.com/currencies/usd-coin/

Notice as well that price making was not that bad (4% spread at maximum) considering the immaturity of those coins and the grim context.

Be First to Comment

Leave a Reply

Your email address will not be published. Required fields are marked *

IMPORTANT! To be able to proceed, you need to solve the following simple math (so we know that you are a human) :-)

What is 7 + 4 ?
Please leave these two fields as-is: