Tether claim that they are the prime example of how global markets can operate more efficiently by leveraging blockchain technology, and that they represent a payments rail that’s actually built for the future of business and innovation.
For those who do not understand what is a payment’s rail: A payment rail is a payment platform or a payment network which helps moves money from a payer to a payee. Either party could be a consumer or business, or both parties are able to move funds on the network. Credit card rails are the credit card payment system.
It is expected for Tether to threaten Ether’s position as a payment tool. Tether is in the 4th place in the ranking ladder. The market cap of Tether is growing at a record pace. The recent Bitcoin rally fueled its growth further and it continues to be the dominant stable coin in the market place.
Tether is used as a substitute for fiat currencies across major exchanges. Tether is used by investors to store their capital and extra income without losing value. Investors flock to Tether in a rush to safety.
Tether is used to hedge versus major cryptocurrencies. There is a widespread opinion that the USDT supply represents capital which is waiting on the sidelines. However, when the supply of Tether increases, it just indicates that investors are hedging actively, thus leaving abundant capital that is ready to flow in to the crypto market.
In this regard, Sydney Ifergan, the crypto expert tweeted: “No matter what who has to say, Tether (USDT) does a great job of improving the sentiment related to Bitcoin (BTC). Chain Swaps continue day in and day out with Tether.”
Tether (USDT) and Bitcoin
Paolo Ardoino, CTO of Tether in support of Ethereum 2.0 migration recently expressed that Bitfinex have the biggest Ethereum Wallet. He further stated that they are demonstrating early support for the Ethereum 2.0 migration.
For those who are new to Tether, A tether is worth a dollar in USD. There are currently around 19 billion in circulation. Evidently, the market believes in it, given that bitcoin has risen since the beginning of the year, and when Bitcoin rises it is good for USDT too.
The uncertainty originating from the pandemic and the prospect of new massive injections of liquidity by central banks have led to invest realize that bitcoin is not inflation able as the algorithm was programmed to produce just 21 million, not one more. What is good for Bitcoin is obviously good for Tether too.
Credit: Source link
