Even
though
pumping
at
spot
rates,
Tron
wasn’t
spared
the
wrath
of
bears
after
peaking
in
February.
Like
other
altcoins
like
Solana
and
Ethereum,
whose
prices
soared
to
2024
highs
in
March,
Tron
remains
in
red
in
the
last
month
of
trading
and
has
yet
to
conquer
recent
peaks.

As
TRX
and
ETH
attempt
to
unwind
recent
losses,
something
else
is
happening:
In
Tron
and
Ethereum,
the
demand
for
USDT,
the
world’s
most
valuable
stablecoin,
is
rapidly
falling.

 

USDT
Minting
Activity
On
Ethereum
And
Tron
Falls
From
$7
To
$1
Billion

One
analyst
on
X

noted

that
the
decline
in
minting
activity,
and
thus,
general
blockchain
utilization
in
both
networks,
has
seen
USDT
issuance
fall
from
7
billion
to
just
1
billion
as
of
early
July.

This
decline,
which
mirrors
the
price
contraction
in
June,
points
to
reduced
trading
activity
and
free-falling
demand
for
cryptocurrencies
during
that
period.

Despite
Ethereum
being
dominant,
Tron
is
a
preferred
network
for
users
seeking
to
mint
USDT.
Unlike
the
world’s
first
smart
contracts
platform,
Tron
is
scalable
and
cheap
to
transact.

Progress
has
been
made
to
scale
Ethereum.
The
rise
of
more
than
a
dozen
Ethereum
layer-2
platforms
like
Base
and
Arbitrum
helps
to
cement
its
position
as
the
largest
ecosystem.

 

Related
Reading:

Sony
Enters
Into
Crypto
With
Acquisition
Of
Amber
Japan

Although
gas
fees
have
been
declining
over
the
months,
developers
have
been
making
good
progress
in
making
layer-2
transactions
way
cheaper
via
upgrades
like

Dencun.

Through
this
update,
users
who
would
otherwise
mint
tokens
like
meme
coins
or
stablecoins
on
Tron
can
opt
to
do
so
on
Ethereum
layer-2
solutions
like
Arbitrum.

The
drop
in
USDT
minting
across
Ethereum
and
Tron
suggests
that
demand
for
crypto
is
dropping.
Usually,
whenever
there
is
bulk
minting
of
USDT,
Bitcoin
and
crypto
prices
tend
to
rise.

Therefore,
until
USDT
minting
activity
resumes
in
these
top
smart
contracts
platforms,
the
prices
of
Bitcoin
and
top
altcoins
will
likely
remain
suppressed.

 

Tether
Partners
With
Uquid,
Stops
Minting
On
EOS
and
Algorand

On
July
1,
Tether

joined
hands

with
Uquid
to
enhance
payments
in
the
Philippines
using
the
TON
blockchain.
The
goal
is
to
modernize
payment
processes
for
Southeast
Asia’s
government-run
Social
Security
System.
Beyond
this,
the
objective
is
to
make
payments
more
secure,
faster,
and
efficient.

Even
as
Tether,
the
issuer
of
USDT,
strikes
more
partnerships,
it
also

announced
the
termination
of
USDT
minting
on
Algorand
and
EOS
networks.
USDT
redemptions
will,
however,
continue
for
the
next
year.

Though
EOS
and
Algorand
are
out,
USDT
can
be
minted
on
over
ten
platforms.
CoinMarketCap

says over
$110
billion

of
the
token
has

been
cumulatively
minted.

Feature
image
from
Canva,
chart
from
TradingView

Go to Source
Author: Dalmas Ngetich

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