Tether’s $1 Billion USDT Mint on Tron Boosts Total to $33 Billion in 2024 — Is a Bull Run Looming?

• Tether has minted 1 billion USDT on Tron.
• Tron has emerged as the top network for stablecoins.
• USDT mints have historically coincided with bull runs in the crypto market.

A billion-dollar injection of fresh capital has just entered the cryptocurrency market, courtesy of Tether’s latest USDT mint on the Tron network.

This major liquidity boost marks a significant milestone for the stablecoin, bringing its total supply to $33 billion over the past year.

As the market absorbs this new influx of capital, analysts are watching closely to see if it will spark a new wave of market momentum.

USDT Mints a Billion Dollars For No Fee

On Aug. 20, Tether minted  a staggering 1 billion USDT on the Tron network. Notably, the company paid zero fees for the minting process, and the freshly minted USDT was swiftly transferred to the Tether Treasury wallet.

This latest billion-dollar mint on the Tron network comes hot on the heels of another massive mint on the Ethereum network.

On Aug. 13, Tether minted  1 billion USDT on the Ethereum network. However, Tether CEO Paolo Ardoino has clarified that the $1 billion USDT transaction on Ethereum was an “inventory replenishment,” claiming it was authorized but not issued.” This means the tokens were reserved for future issuance requests and chain swaps.

Tether USDT Supply Tops 33 Billion

According to crypto analytic firm Lookonchain data , the stablecoin issuer has minted 33 billion USDT on Tron and Ethereum networks over the past year. Of this 33 billion mint, Tron saw a significantly higher mint value of 19 billion, while Ethereum saw the creation of 14 billion USDT.

Tether is the largest stablecoin issuer, with a total market capitalization of $117.5 billion, followed by Circle’s USDC, which has a $35 billion market capitalization. Currently, Tether has over three times the market capitalization of the second-largest stablecoin issuer in the world.

Circle and Tether were seen as competitors three years ago, and USDC market supply briefly overtook USDT. However, since the 2021 bear market, USDT has thrived and has seen a multi-fold increase in its market dominance, while USDC has struggled to keep up with the growing market of USDT.

Tron Steadily Climbs the Stablecoin Ladder

The Tron blockchain has become one of the top networks for stablecoins. It boasts one-third of the total stablecoin market share and only sits behind Ethereum.

Ethereum has the highest stablecoin market share, at $91.82 billion, followed by Tron, at $61.7 billion. Solana is in third place, with $4.84 billion, followed by Arbitrum, with $4.17 billion.

USDT on Tron had an adjusted transfer value of $384 billion in July, which means over $380 billion worth of USDT was transferred using the Tron network, making it the most significant stablecoin movement on any blockchain network.

Crypto Market Sees Bullish Surge

Tether’s large USDT mints often coincide with subsequent bullish surges in the crypto market. This was also the case on Tuesday, Aug. 20, as Bitcoin (BTC) and most altcoins broke out of week-long bearish pressure to post significant gains.

After a bloody weekend, Bitcoin, one of the biggest gainers of the day, and DogWifHat (WIF) and Pepe Coin (PEPE) recorded double-digit growth.

About the Author

Prashant Jha

Prashant Jha is a crypto-journalist focused on the US and UK markets, his interests lie in blockchain technology and crypto adoption across emerging economies.

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