Tether price prediction news after tether has announced the release of a new stablecoin. The news stablecoin will be linked to the Mexican peso, on the Ethereum, Tron, and Polygon platforms, as up to 40% of Mexican companies are considering adopting a blockchain.
USDT, the largest stablecoin market capitalization of about $ 72.5 billion, came out of the recent Terra collapse (UST) fiasco with several bruises and briefly touched the $ 0.95 mark, now gaining a Mexican counterpart.
Tether Price Prediction
MXNT is a new stablecoin published by Tether, which will be launched in Mexico, where 2.5% of the country’s population owns some cryptocurrencies and 40% of companies are interested in blockchain and digital currencies.
The MXNT will be pegged to the local currency peso, which at the time of writing costs $ 0.051.
Introducing peso-bonded stablecoin will provide valuable storage to people in emerging markets, especially in Mexico.
Tether’s Chief Technology Officer. According to a Triple-A survey, many of the cryptocurrencies used in Mexico are for speculation and trading. The large volume of incoming transfers from the US and the difficulties in transferring money have made crypto and blockchain technology an attractive offer for Mexicans.
The fourth stablecoin, Tether, is heading to Latin America
Tether believes that Mexico will be a testing ground for the broader adoption of stablecoins in Latin America.
In the last year, the use of cryptocurrencies in Latin America increased, which led to an increase in expansion.
The company already has stablecoins pegged to the euro and the Chinese yuan. Unlike bitcoin, stablecoins are covered by dollar reserves.
Tether will publish quarterly reports on the composition of reserves
Terra’s recent stablecoin crash caused $ 10 billion in USDT withdrawals, all of which were repaid after Tether transferred its corporate securities reserves to a higher-quality asset in short-term government debt.
Authorities were on the lookout for 31% of assets held in commercial paper reserves held by Tether last July. The percentage of MHA Cayman, a UK-based satellite entity, MHA MacIntyre’s satellite, has dropped to just over a quarter.
Tether has previously been fined $ 41 million by the Commodities and Futures Trading Commission (CFTC) for falsely claiming that its stablecoin is covered by 100% dollar reserves. As part of the settlement of relations with the CFTC, it then agreed to provide quarterly updated data on the composition of its reserves.
The reserves help issuers of stablecoins to buy their stablecoins for fiat and, at the same time, avoid the scenario called “bank run – run to banks.”
Tether holds stability even through several statements from central banks. Even in the worst market situations, Tether was holding a position.