- The BanklessTimes CEO attributes USDT’s dominance on Tezos to its early entry into the market, trustworthiness, and liquidity.
- Tezos recently concluded its Mumbai upgrade that can exponentially increase its throughput.
Tether (USDT) dominated the Tezos stablecoin market during the first quarter of 2023. That’s per a recent BanklessTimes.com data presentation. Reportedly, USDT accounted for 67% of the platform’s $55 million-capped stablecoin market, which amounts to $37 million.
Youves’ uUSD, whose market cap was $11M, took second. Rounding up the top four stablecoins were Lugh (EURL) and Kolibri (KUSD). Whereas EURL’s cap was $4.6M, KUSD’s stood at $1.4M.
BanklessTimes’ latest report will likely brighten the day for many crypto enthusiasts considering investments in Tezos. It highlights the centrality of USDT on the platform, a convenient way of converting fiat currencies to crypto assets.
Its growing liquidity will make onboarding the platform’s crypto projects much smoother.
So Why Has USDT Dominated Tezos’ Stablecoin Market?
The CEO of BanklessTimes attributes USDT’s dominance to Tether’s early entry into the stablecoin market. To him, that, coupled with the coin’s reputation for trust, has helped it build a loyal user base among crypto traders and investors.
He explained:
BanklessTimes CEOUSDT is the gold standard when it comes to stablecoins. It has a long track record of stability and relative transparency. That makes it the go-to option for traders and investors who want to mitigate risk and ensure liquidity.
The CEO added that USDT’s dominance in other markets, such as Ethereum, has also helped it gain a foothold in the Tezos market. Additionally, its liquidity makes it an easy choice for those looking to move funds quickly on the Tezos platform.
A Promising Platform
The CEO concluded that Tezos is a promising platform with much potential. He singled out its innovative features, such as formal verification, which make it attractive for developers looking to build secure and reliable decentralized applications (dApps).
The CEO argues that together with its budding stablecoin ecosystem, those features will enhance its standing within the blockchain space. For instance, Tezos recently completed its Mumbai upgrade, a significant step forward for the network.
Taking Leadership of the Blockchain Space
The upgrade enabled the platform to integrate Smart Contract Optimistic Rollups (SCORUs). This feature is a significant development for the blockchain as it can exponentially increase the network’s throughput and support new execution environments.
Tezos’ new capabilities will provide its users with better scalability, security, and functionality, leading to a surge in development and overall activity. This upgrade comes at a critical time when blockchain technology is rapidly growing.
Not only does it provide a foundation for more activity on the network, but it also positions Tezos among leaders in blockchain technology. With the Mumbai upgrade, Tezos has set a high bar for its competitors to match.
