Tether (USDT), the world’s largest stablecoin by market cap, continues to grow despite record-breaking outflows due to Bitcoin criticism from Elon Musk and China’s FUD ban.

On Monday, Tether’s market capitalization hit $ 60 billion for the first time in history, marking another major milestone in stablecoin growth. According to data from Tether Transparency, USDT’s market value at press time is $ 60.4 billion, more than 580% more than a year ago.

Tether’s new market cap record follows a spate of new USDT minted at the Tether Treasury Department. According to data from Whale Alert, at least 10 billion USDT have been newly minted at the Treasury Department in the past 30 days, with the last batch being 1 billion USDT minted on May 24th. According to an announcement from Tether, demand from institutions and corporations may be the main drivers of Tether’s continued growth.

1,000,000,000 #USDT (1,000,000,000 USD) minted at Tether Treasuryhttps://t.co/s5RhqlslE3

– Whale alert (@whale_alert) May 24, 2021

USDT has consistently passed new market cap milestones for the past two months, adding $ 10 billion a month.

Tether market capitalization chart | Source: Coinecko

Tether (USDT) slumped into the top 3 cryptocurrencies by market capitalization alongside Bitcoin (BTC) and Ether (ETH) and toppled Binance Coin (BNB) on May 23.

Tether’s continued growth follows massive crypto volatility as the market slumped $ 1 trillion from its highs in mid-May with a market cap of $ 2.5 trillion. Bitcoin, which became an asset of $ 1 trillion earlier this year, lost more than $ 400 billion in the recent market crash, with market capitalization over $ 715 billion at the time of writing.

Paolo Ardoino, CTO of Tether, emphasized that periods of massive crypto volatility are often linked to the growth of stablecoins:

“During these extreme periods of time, we have previously seen increased stablecoin activity, which is reflected in Tether’s recent $ 60 billion milestone as demand continues to grow. Events like this even support the strength of the ecosystem and help people focus on building again instead of being distracted by price increases. “

Founded in 2014, USDT is a stablecoin that is pegged to the USD with a 1: 1 exchange rate. As the world’s largest stablecoin, Tether now represents 60% of the combined stablecoin capitalization of $ 100 billion. Its main competitor is USD Coin (USDC), which is the eighth largest cryptocurrency by market value with a market capitalization of $ 20 billion.

Qu Nguyen

According to Cointelegraph

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