Paolo Ardoino, CTO at BitFinex expressed that while Tether is breaking all growth records, I love that the entire stablecoin offering is expanding the overall monetary base. Aggregate efforts from multiple companies are more likely to succeed than bringing this whole concept forward alone.
When Eric Wall, a community member asked for clarification stating, The entire stablecoin offering is expanding the overall monetary base Are you referring to CBDCs? Otherwise I can’t think of why private sector stablecoins would have an impact on the monetary base.
Paolo Ardoino replied, I’m referring to other stablecoins increasing 2x/3x or so since beginning of the year.
Sydney Ifergan, the crypto expert tweeted: “No matter who says what, it cannot be denied that Tether is an important component of the crypto space.”
Some of the community members opine that with improved speed and low cost that Tether would become the normal payment method very soon. Also, some feel that even the banks will accept stable coins in deposits. When this happens, very soon, there will be a huge impact on the people who are living under the currency controls. Also, they will be able to access the global financial rails without the intervention of their governments. Also, they might also escape unstable currencies. Further opined that Entire Africa can prosper if they have access to a stable currency.
The current opinion is that the people underestimate the impact of stablecoins. Every transaction is replacing a bank transaction and therefore taking away their business. Thus it is very clear that Tether is a better way to unbank the banked to the new alternative. Also, banks and credit cards are trying to compete with near free, instant, 24×7 & global stablecoins!
Tether (USDT) Positive Outlook
Pankaj Balani, CEO and Founder of Delta Exchange stated that We have close to $15 Bn worth USDT but that does not look enough either. Note that this was $10Bn till last month & just about $4Bn, 12 mths back. He pointed to how the demand is high and that USDT is a big winner.
He also opined that there is not enough USDT in the system. He also stated that the demand for $USDT has been through the roof and the stablecoin looks set for a huge growth over the next few quarters.
Pankaj stated that the activity has grown at a much faster pace than what the stablecoin supply has been able to keep up with. He pointed to how there is some 20 billion outstanding in stablecoins, which has to support: (i) Spot markets (ii) DeFi (iii) Derivatives markets The current supply is just not enough.
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