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Leading stablecoin issuer Tether’s USDT recently achieved a significant milestone by reaching an all-time high market capitalization of $100 billion.&nbsp; 
This development marks a 9% growth since the beginning of the year, significantly widening its lead over its closest competitor, USD Coin (USDC), issued by <a href="https://crypto.news/circle-taps-coinheck-to-expand-its-services-in-japan/">Circle</a>. As of March 4, Tether’s market capitalization momentarily hit the $100 billion mark, per <a href="https://www.coingecko.com/en/coins/tether" target="_blank" rel="noopener">data</a> from CoinGecko. 
Comparatively, Tether’s market capitalization is more than $71 billion ahead of <a href="https://crypto.news/usdc-and-litecoin-enthusiasts-flow-to-kelexo/">USDC</a>, establishing its dominance in the stablecoin sector. This places Tether in a similar market cap range as major corporations such as the British oil and gas company BP and the e-commerce platform <a href="https://crypto.news/shopify-adds-web3-platform-tyb-to-its-app-store/">Shopify</a>.&nbsp; 
Tether operates on 14 different blockchains and protocols and is the third-largest cryptocurrency by market cap, trailing only behind Ether. It has become a <a href="https://crypto.news/tether-expands-market-share-by-21-in-2023/">pivotal option for traders</a> seeking a stable asset amidst the volatile crypto market. Tether’s issuer claims each USDT token is <a href="https://crypto.news/tether-to-eliminate-commercial-paper-to-ensure-investor-protection/">backed 1:1 with reserves</a>, predominantly consisting of yield-bearing U.S. Treasury Bills (T-Bills). In the last quarter of 2023, Tether reported a <a href="https://crypto.news/tether-reports-q4-2023-profits-of-2-8b/">record quarterly profit</a> of $2.85 billion, with $1 billion derived from its T-Bills investments. 
 You might also like: <a href="https://crypto.news/tether-minted-another-1b-usdt-on-tron-heres-why/"> Tether minted another $1b USDT on Tron, here’s why </a> 
The entire stablecoin sector has experienced significant growth, with a $3.26 billion increase in market cap over the past eight days of the report, bringing its total to $144.08 billion. This growth reflects a 2.31% increase, with Tether, USDC, DAI, and FDUSD among the stablecoins seeing notable expansions in supply. 
The broader cryptocurrency market has also shown <a href="https://crypto.news/crypto-eyes-2-5t-market-cap-new-ai-coin-targets-11m-in-presale/">signs of recovery</a>, with the total market cap exceeding $2 trillion in the last month. This resurgence is further highlighted by <a href="https://crypto.news/etfs-will-bitcoin-hit-a-fresh-all-time-high-in-2024/">Bitcoin’s 50% surge</a> in price, reaching two-year highs.&nbsp; 
Amid these developments, a <a href="https://crypto.news/ftx-alameda-deltec-bank-scheme-cash-in-tether-lawsuit/">lawsuit has emerged</a> involving the cryptocurrency trading platform FTX and its alleged misuse of Tether (USDT) in a profit-making scheme. The lawsuit, filed in a Florida court, implicates FTX and its sister firm, Alameda Research, in creating and selling USDT for profit through an unofficial credit line with Deltec Bank &amp; Trust Ltd. without initially funding the purchases. 
The complaint also accuses Deltec of facilitating the misappropriation of customer funds by FTX and Alameda Research. Despite these allegations, Tether has <a href="https://crypto.news/tether-clarifies-that-alamedas-usdt-holdings-pose-no-risk/">not been named</a> as a defendant in the lawsuit. Lawyers for the victims have provided extensive evidence, including thousands of pages of communications, to support their case against FTX and its affiliates. 
 Read more: <a href="https://crypto.news/ftx-alameda-deltec-bank-scheme-cash-in-tether-lawsuit/"> FTX, Alameda allegedly schemed to cash in on Tether: lawsuit </a>

USDT soars to record market cap of $100 billion amid crypto market recovery

crypto.news

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