Tether (USDT) has announced that it is coordinating a chain swap to transfer USDT assets from Tron’s TRC20 to Ethereum and Avalanche’s blockchain.
In a tweet, Tether said that 1 billion USDT will be moved from the Tron blockchain to Ethereum. In return, another 20 million USDT will be converted to Avalanche. According to Tether, this will not change the entire stablecoin supply.
The announcement comes amid fears of a stablecoin collapse following the recent collapse of TerraUSD (UST) and Terra (LUNA). USDT also shows price volatility. It dropped below $0.99 on multiple platforms on May 12, prompting many to voice their concerns.
However, in an interview, Tether CTO Paolo Ardoino reassured traders that USDT is not like algorithmic stablecoins like UST, with Ardoino saying that Tether has a strong, conservative and liquid portfolio that Consists of cash and cash equivalents, including treasury bills, money market funds, and commercial paper.
Arduino alsopoint outthat the FUD that is going on around stablecoins is becoming a money-making trend for some traders. He explained that some companies are buying USDT under $1 on some exchanges. And are trading it above $1 on Bitfinex and Tether.
refer : LINK
The post CTO Tether is confident! USDT is not like “Algorithmic Stablecoins” appeared first on Bitcoin Addict.