Tether (USDT) now values $6.6 billion on the TRON blockchain. Between 300 and 400k USDT transactions made every day, it makes TRON undoubtedly the most popular network for USDT.
Unless you’re familiar with stablecoins, you’re probably aware that Tether (USDT), the most popular USD-backed stablecoin, can be for a variety of platforms.
There’s the original Omni-based Tether, which builds on top of the Bitcoin blockchain. Also, a number of tokenized Tether assets are available on Ethereum, TRON, EOS, Liquid, and Algorand.
TRON has quickly emerged as the fastest-growing blockchain for USDT issuance. However, all of these blockchains effectively offer the same thing to Tether holders.
In just one year, the quantity of USDT issued on TRON increased from $1 billion in January to over $6.6 billion in December 2020. Thus, making it the year’s biggest ever value. TRON is quickly overtaking Ethereum as the most popular blockchain for USDT. If its current growth rate continues, it might overtake Ethereum as the most popular blockchain for stablecoin by mid-2021.
USDT on TRON Gains Traction
However, since one USDT is equal to another, you may be wondering why USDT on TRON is gaining so much traction. There are several major causes behind this.
The first is that TRON transactions often get completion much faster. This is compared to transactions on similar blockchains such as Ethereum or Omni. In most cases, TRON transactions achieve finality in seconds rather than minutes or possibly longer during peak loads. As a result, USDT-TRON better suits traders that frequently need to shift money quickly.
This exacerbates by the rapidly evolving TRON DeFi scene. It now includes JustSwap, JustLink, JustLend, and a slew of other DeFi protocols that have piqued attention in the previous six months. USDT’s popularity has skyrocketed on both TRON and Ethereum. These are the two most popular platforms for DeFi applications. Thus, users increasingly resort to stablecoins to take advantage of DeFi solutions’ benefits.
Lastly, USDT transfers on TRON are absolutely free, saving users the $10+ cost that might be incurred when moving USDT on ETH during peak network traffic. Many popular Ethereum DeFi protocols are essentially out-of-bounds for regular users when the network is congested. As the fees associated with invoking Ethereum smart contracts can reach $50+. This proved as an issue for Ethereum’s DeFi landscape’s continued growth. As many popular Ethereum DeFi protocols are essentially out-of-bounds for regular users when the network gets congestion.
As an outcome, USDT-TRON is now the most widely used version of USDT, with more daily transactions than any other blockchain since August 2020, when TRON released its first significant DeFi platform, JustSwap.
Tether (USDT) is now worth $6.6 billion on the TRON blockchain, with 300-400k USDT transactions per day, making it the most popular network for USDT despite its recent inception.
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