What are the reasons for the growth of Tether supply?
Tether set a new record in the second week of January 2021. Because Tether Company issued $ 2 billion of Tether tokens via dollar as backed currency, it caused a new record for the market-leading stable currency. There is currently more than 24.6 billion Tether in circulation in the Ethereum, Tron, and Omni blockchains. Last year, there were 4.8 billion turnovers.
According to one market trader, there are several reasons for this growth. Some people do not trust their country’s banks or currencies. So Tether is a dollar-like cash asset available to them.
What are the other reasons for the growth of the supply of this stable currency?
This growth also occurs when traders quickly begin to convert Bitcoins to Tether or vice versa. It could cause the token to trade above the fixed rate of one dollar in a limited period.
According to Kraken Exchange data, the Tether token has been trading at just over a dollar since the beginning of January. But on January 11, 2021, its price dropped below one dollar.
According to the Chief Technology at Bitfinex, large investment institutions such as Micro-Strategy or Ruffer Investment Company, which place their orders over-the-counter (OTC), have also boosted the reserve of Tether tokens.
What are the factors that increase the publication of Tether?
Chief Technology said in a message: Between Tether users, there are all main OTC desks and large corporations. Over-the-counter desks typically receive buyers’ money and turn it into a Tether. It increases the buying forces and thus increases the demand for stable currencies.
He also cited the “increase in volume” on all cryptocurrency trading platforms over the past few weeks, along with the ability to use Tether as collateral as other reasons for the significant growth in the supply of this stable currency.
The trading volume of Tether is still higher than the trading volume of other Bitcoin currency pairs.
All the factors affecting supply and demand in the market have increased the publishing of this stable currency. In April 2019, Fiat currencies only supported about 74% of Tether’s supply.
Tetra rank in the market
What was the highest price of Polkadot in recent days?
Polkadot cryptocurrency took over Ripple’s position in the market with its rapid growth.
After a sharp rise in the price of Polkadot, this digital currency took fourth place in the cryptocurrency market by taking the place of Ripple.
According to Cointelegraph, Polkadot is one of the most successful cryptocurrencies in the current bullish market, which can multiply its price. At present, each unit of Polkadot trades in the range of $ 14.73 and has been able to take the place of Ripple in the market.
The market value of Polkadot has reached $ 13 billion in the last 24 hours on January 16, 2021, including a 5% jump. Until a few days ago, this cryptocurrency was trading in the range of $ 10.
What are the specifications of the Polkadot network?
The Polkadot network uses the Multichain protocol and uses several parallel chains called para-chains. This technology is called Sharding in Ethereum. The supporting structure of the Polkadot Para-chain block is also called a substrate.
Polkadot compatibility can be connected to other blockchain networks. This blockchain is also capable of processing thousands of transactions per second. According to many, Polkadot defeats Ethereum.
Many in the Polkadot community believe that more partners will be drawn to this cryptocurrency.
Other factors driving the growth of Polkadot prices are as following:
- Problems with Decentralized Finance (DeFi) in Ethereum
- Scalability challenges in this network
Of course, in this price increase, we should not ignore the technical factors.
Polkadot price rise