Tether, the company that issued the stablecoin USDT, decided not to launch its own Cryptocurrency network due to market saturation and strategic reasons.
This was explained by the company’s CEO, Paolo Ardoino, in a Blockchain” target=”_blank” rel=”noreferrer noopener”>interview “We’re very good at technology, but I think networks will become almost a commodity in the future,” he said, according to Bloomberg News.
In that sense, he said that he is “happy” that his stablecoin maintains its “agnostic” nature, that is, not being committed to a single network or platform. USDT can operate in different environments. Ardoino believes that the most important thing is to focus on the security in which USDT trading is carried outHe explained:
“Launching a cryptocurrency network might not be the right decision. There are very good ecosystems and for us they are just transport layers. Launching a blockchain ourselves might not be the right decision. There are very good blockchains.”
Paolo Ardoino, CEO of Tether.
The analysis made by the owner of the issuing firm stablecoin with higher market capitalization is due to the fact that there are 5 ecosystems that They control around 86% of the total value of blocked assets (the money deposited in each of them), according to data from DefiLlama.
TVL of the main networks. Source: DefiLlama.
Ethereum/”>Ethereumthe ecosystem created by Vitalik Buterin, an approximate TVL of 50 billion dollars, according to data from DefiLlama. The list of the complete Tronfounded by Justin Sun, with over $8 billion, and Solana with $5 billion.
Ethereum has a TVL of over $50 billion. Source: DeFiLlama.
For a cryptocurrency network to be used, it is important that it has high operating speed, low fees, use cases, and security.
In many cases, these environments end up with limited use and are unable to attract a user base. Many of these launches are purely commercial issues rather than providing solutions to a specific problem.
Tether, for its part, chooses to get off this trend of launching “blockchains” for everything and prefers to focus on the security and sustainability of USDT within existing ecosystems.
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