Tron Narrows Ethereum’s Lead With $1B Tether Mint—Because Stablecoins Love a Cheap Thrill

Tron just fired another $1B salvo in the stablecoin wars—because nothing says ’decentralized finance’ like centralized minting frenzies.

The network’s latest USDT issuance tightens the gap with Ethereum’s dominance, proving once again that when it comes to moving funny money, speed (and low fees) trump idealism every time.

Wall Street bankers watching this unfold: ’Wait, we could’ve just printed IOUs on a blockchain?’

USDT circulation on Ethereum and Tron. Source: CryptoQuant

Tether’s total circulation is currently at a record high of $149.4 billion USDT, having increased by 8.6% since the beginning of this year. This gives the firm a commanding stablecoin market share of 61%, according to CoinGecko. 

Its closest competitor, Circle, has a market share of 25% with almost $62 billion USDC (USDC $1.00) in circulation.

Stablecoin issuance has surged over the past six months, and they currently represent 8% of the total crypto market capitalization.

In a report in late April, the United States Treasury Department predicted that the stablecoin market could reach $2 trillion by 2028 if regulatory clarity is achieved. 

Stablecoin legislation nearing next vote 

It is widely believed that two key pieces of legislation need to be passed into law in the US to cement the position of stablecoins. 

The Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act sets out clear definitions for “payment stablecoins” and reserve rules for stablecoin issuers.

Lawmakers in the US Senate will move forward with a vote on the GENIUS stablecoin bill before May 26, according to reports. 

Meanwhile, the Stablecoin Transparency and Accountability for a Better Ledger Economy (STABLE) Act, which governs the approval and supervision of “federally qualified nonbank payment stablecoin issuers,” is also going through Congress. 

Tether is also planning to launch a US-based stablecoin later this year, with timing dependent on the passing of legislation.