Over the past four weeks, Tether has minted 4 billion new USDT tokens on the Ethereum and Tron networks.
According to Whale Alert, Tether released 1 billion USDT on the Tron network on October 19, November 4, and November 10, and another 1 billion USDT on Ethereum on November 9. Thus, the company minted 4 million new tokens during the month.
Overall, Tether has increased the stablecoin supply by 22.75 billion this year, of which 13 billion USDT were issued on Tron and 9.75 billion on Ethereum. At the same time, about 18% of the supply was minted within the last month.
In addition to actively minting new coins, Tether has also burned about 6.3 billion tokens over the year:
- 2 billion USDT on Ethereum in February;
- 3.1 billion USDT in June and another 1.2 billion USDT in August on Tron.
The crypto community has reacted skeptically to the active issuance of new tokens. Some users even hinted that active coin minting had previously led to bank failures, referring to the March events with Silicon Valley Bank, Silvergate, and Signature Bank. However, Paolo Ardoino, CTO and CEO of Tether, was quick to assure users that the sole purpose of issuing new tokens is to replenish reserves.
Earlier this year, the company released a lot of USDT, which analysts regarded as a bullish signal.
