Tether, which claims to be among the largest companies in the digital assets industry, marks a decade of pioneering advancements and innovation that have helped with transforming the landscape of digital assets.
Since its launch in 2014, Tether claims it has enhanced finance by introducing the very first stablecoin, thus aiming to bridge traditional (fiat) currencies and the digital asset market.
Tether says it is one of the first firms to support stablecoins and has expanded into a diversified technology provider, establishing standards for financial accessibility and stability.
As explained in a blog post, Tether introduced the concept of a virtual currency pegged to the U.S. dollar (USD₮), providing solution to “volatility” in the crypto market.
Now, USD₮ is said to be the “most widely used” stablecoin with a market cap nearing $120 billion, making it a “pillar” of the digital economy.
As noted in the update, USD₮ has seen steady growth in active users.
The number of users across blockchains and centralized exchanges, particularly in the emerging markets increased in 2024, reflecting a surge in USD₮’s utility.
Weekly, Monthly, and Daily Active Users show a “consistent upward trend” as well.
The year-over-year growth has come with new users “growing 24% in the last 12 months and 50% in the prior 12 months, as USD₮ adoption accelerated.”
Tether’s multi-chain support, seen across blockchains such as Tron, TON, and Ethereum, has contributed to its expanding user base.
As stated in a blog post, this year-over-year surge reflects the growing demand for USD₮ in digital finance and its role as a “backbone of liquidity” across crypto markets.
Tether claims that it has been “pivotal” in reinforcing the U.S. dollar’s dominance abroad.
With over 350 million users worldwide, Tether provides financial tools and digital currencies that enable financial inclusion.
As noted in a blog post, Tether’s holdings of U.S. Treasuries further strengthen the dollar’s global influence, solidifying USD₮ “as a trusted digital representation of the world’s reserve currency.”
As of its Q2 2024 Attestation, Tether had direct and indirect exposure to over $97 billion in U.S. Treasuries. This makes Tether one of the top 20 largest “buyers of U.S. Treasury bills, surpassing the holdings of countries like Germany, the United Arab Emirates, and Australia.”
By backing its stablecoins with these high-quality assets, Tether not only ensures the security of USD₮ but also “reinforces the dollar’s stability and prominence in global markets.”
Although Tether began with the U.S. dollar, it has expanded to other fiat-pegged tokens.
This diversification is expected to improve its ability to cater to “a broader range of global users and use cases, further cementing Tether’s leadership in the stablecoin category.”
According to the update, stablecoins have become the “preferred method” of transacting digitally, and Tether continues to lead the charge in “driving adoption, outpacing leading tech companies on profitability per employee.”
Tether explains that stablecoins are no longer niche but are now “integrated into everyday financial transactions, from remittances to corporate payments.”
Although Tether has made progress, there are still problems to be addressed, particularly in regulatory clarity, scalability, and real-world utility of digital currencies.
Tether is now pursuing solutions in these areas, including advanced blockchain integrations and new stablecoin product lines.
Tether’s next 10 years will reportedly focus on improving global financial inclusion, expanding its token offerings, and enabling innovations in sectors like AI, energy sustainability, and blockchain education.