Tether, the leading issuer of stablecoins globally, has recently transferred $800 million worth of its USDT to Binance, the largest cryptocurrency exchange by trading volume. Data from Arkham, a blockchain analytics firm, reveals that this transfer was executed in two increments of $400 million, both completed early Wednesday.
This substantial movement of USDT potentially signals increased institutional involvement, according to Arkham's analysis. The firm's alert highlighted the transfers, stating, "ARKHAM ALERT: $400M TETHER USDT TRANSFERRED TO BINANCE. Institutions are onramping."
Just prior to these transfers, Tether minted an additional 1 billion USDT on the Tron network.
Coinciding with this, Binance.US announced the reinstatement of USD fiat deposits and withdrawals, offering these services with no transaction fees. Interim CEO of Binance.US, Norman Reed, commented on the development, emphasizing the significant milestone for the platform since it began operating without fiat options in July 2023.
Currently, USDT's market capitalization stands at $141.75 billion, slightly under its recent all-time peak. This movement aligns with the exchanging platform's renewed capabilities in facilitating seamless transactions for its users.
Tether is the world’s largest stablecoin by market cap, founded in 2014 and designed to maintain a 1-to-1 peg with the U.S. dollar. Despite encountering regulatory scrutiny and questions over its reserves, it has maintained its status as a popular on-ramp for traders seeking low-volatility digital assets. As of this writing, Tether’s market capitalization hovers around $141.75 billion, slightly below its recently reached all-time high.
Binance is the globe’s largest cryptocurrency exchange by trading volume, launched in 2017 by Changpeng Zhao. In just a few years, it expanded rapidly by listing a wide range of digital assets and focusing on global user accessibility. The company has faced heightened regulatory attention in several jurisdictions, prompting the launch of Binance.US in 2019 to serve American customers under separate compliance structures.
Disclaimer: The information provided in this article is for educational purposes only and should not be considered financial or legal advice. Always conduct your own research or consult a professional when dealing with cryptocurrency assets.