Tether and a major third-party cryptocurrency exchange have announced an on-chain exchange that will transfer $1 billion USDT from another blockchain to the Tron network.
On January 6, stablecoin issuer Tether posted on X that they plan to coordinate with a major exchange to facilitate the on-chain exchange.
According to the advertisementthe coordination sees Tether and the exchange converts a portion of the third party provider's Tether (USDT) kept in cold cases until the Tron (TRX) network. The USDT will be converted from different blockchains.
USDT Tether is available on many blockchains, including Ethereum, Tron, and Solana. The stablecoin issuer clarified that the chain exchange will not affect the total supply of USDT.
Chain swaps involve the transfer of crypto from one blockchain to another.
This is vital to the trading market as it helps traders to use their digital assets on any of the supported blockchains. Tether's main stable is a major player in the crypto industry, with billions of dollars traded daily as users use it for payments, trading and cross-border transactions.
USDT holders can trade without the inherent volatility that largely characterizes the crypto market.
The stable is pegged 1:1 to the US dollar and currently dominates the ecosystem-wide sector with over $137 billion in market cap. USDC circle (USDC) is the second largest stable with a market cap of $45.8 billion.
Data shows that Tether's 24-hour trading volume is around $102.5 billion, representing a 61% increase in the past 24 hours. USDC stands at around $7.1 billion, up 80% in the past 24 hours.
While Tether continues to lead the stablecoin space by market share, its market cap has suffered recently as the European Union's Markets in Crypto Funds regulation came into full force in December last year.
