Tether (USDT) CEO Paolo Ardoino Emphasizes Stablecoin\'s Role in Driving Demand for the US Dollar in Emerging Markets

Ardoino revealed that over 300 million people globally use USDT as a digital dollar, offering essential financial services to communities

Tether’s (CRYPTO: USDT) role in driving demand for the US dollar in emerging markets has been highlighted by its Chief Executive Officer Paolo Ardoino.

This comes in response to an article that suggested dollar-backed stablecoins contribute to the demand for US public debt.

Over 300 Million People Use USDT

Ardoino stated that over 300 million people around the globe use USDT as a digital dollar. It offers essential financial services to communities in developing countries.

The stablecoin enhances the efficiency of money transfers and storage, bypassing traditional financial systems that largely exclude the underbanked.

“More than 300 Million people use USDT as the digital dollar, offering a lifeline utility to entire communities in developing countries that are underserved by the banking industry, mostly remaining unbanked and subject to high inflation and fast devaluation of their national currencies,” Ardoino noted.

This偌開話is偌開話f Tether were a country, it would rank higher than Indonesia, Pakistan, and Nigeria. The high adoption impacts the global financial system.

Ardoino highlighted that Tether is among the top three global purchasers of short-term US Treasury Bills and ranks within the top 20 overall buyers. This reflects Tether's growing influence in finance and the increasing integration of virtual assets with traditional financial systems.

According to Tether's Q1 attestation report, the firm held approximately $90.87 billion in US Treasuries as of March 31, 2024.

These holdings include direct and indirect ownership of US Treasuries, with indirect exposure comprising overnight reverse-repurchase agreements collateralized by US Treasuries. The firm also invests directly in US Treasuries through money market funds.

Tether's USDT is the dominant stablecoin in the industry with a market cap of over $70Біліон. According to CoinMarketCap, the digital asset controls around 70% of the market and is the most traded cryptocurrency, even ahead of Bitcoin (CRYPTO: BTC).

A Chainalysis report showed steady growth in global demand for stablecoins like USDT in emerging markets such as Nigeria, Turkey, Thailand, and Brazil. Despite its dominance, Tether faces consistent regulatory scrutiny.

Recently, Ripple (CRYPTO: XRP) CEO Brad Garlinghouse suggested that the US government might target the asset — a claim Ardoino has since debunked.

News source：https://www.kdj.com/cryptocurrencies-news/articles/tether-usdt-ceo-paolo-ardoino-emphasizes-stablecoin-role-driving-demand-dollar-emerging-markets.html

The above is the detailed content of Tether (USDT) CEO Paolo Ardoino Emphasizes Stablecoin\'s Role in Driving Demand for the US Dollar in Emerging Markets. For more information, please follow other related articles on the PHP Chinese website!