According to Tether CEO Paolo Ardoino, the primary objective of the world’s largest stablecoin, Tether USD (USDT), is to safeguard the purchasing power of individuals in economies affected by inflation. In an exclusive interview with Cointelegraph, Ardoino emphasized that Tether aims to provide access to USDT for the unbanked population who lack traditional banking services.
As inflation continues to plague emerging economies, people are increasingly seeking alternative financial options, such as the US dollar. This issue is particularly severe in Argentina, where the national currency has experienced a 98% depreciation against the dollar, as stated by Ardoino.
Tether currently holds the top position as the largest stablecoin, boasting a market capitalization of over $109 billion. In comparison, Circle’s USDC, with a market cap of $33 billion, comes in second, according to CoinMarketCap.
Ardoino attributes Tether’s success to its ability to identify the appropriate market segment, namely individuals who require financial services and US dollars. In contrast, other stablecoin issuers are attempting to cater to the legacy banking industry. The CEO elaborated on this, stating:
“The usage of stablecoins in Europe and the United States is almost non-existent.”
Ardoino further emphasized that serving the unbanked population worldwide will continue to be a top priority for Tether.
On April 1, Tether completed the “gold standard” security audit, known as the System and Organization Controls 2 (SOC) audit. This audit represents the highest level of security compliance that an organization can achieve.
Despite having the second-lowest daily inflows, BlackRock ETF is on the verge of surpassing Grayscale in terms of assets under management (AUM), according to recent data.