The capitalization of the largest stablecoin Tether (USDT) set a new record, exceeding $96 billion, and as Bloomberg analysts predict, it will soon reach $100 billion. Excess reserves of the company issuing USDT reached $5.4 billion.
The JPMorgan report says that the growing supply of stablecoins indicates that the digital currency market is beginning to accumulate more capital. Accordingly, funds are leaving bank deposits, and the traditional financial system may face a liquidity shortage in the medium term.
Over the last few years, Tether’s share in the cryptosphere has increased significantly. This is what the banking sector fears, said Tether CTO Paolo Ardoino.
He also noted that the USDT issuer is cooperating with regulators so that they do not hinder the expansion of blockchain infrastructure.