🌎 Tether CEO Downplays Stablecoin Competition Concerns

Tether CEO Paolo Ardoino Downplays Stablecoin Competition Concerns

Tether CEO Paolo Ardoino has dismissed concerns about competition in the stablecoin market, emphasizing Tether’s decade-long growth and extensive distribution network.

Regulatory Challenges in Europe

Tether is currently facing regulatory challenges in Europe due to the European Union’s Markets in Crypto-Assets regulations. This has led exchanges like Crypto.com and Kraken to delist USDT in the region. Additionally, Tether’s market value has declined to a two-year low amid these new regulations, raising concerns about its future stability.

Ardoino’s Confidence in Tether

Speaking at the PlanB Forum in El Salvador, Ardoino contrasted Tether’s approach with that of its competitors, which rely on investor capital and bank incentives. “Tether has been building for the last 10 years one of the widest digital and physical distribution networks in the history of humanity,” Ardoino said.

While some competitors raise capital from investors and grow their market cap paying incentives to banks to keep their stablecoins in the balance sheet, Tether has 100s thousands of partners, building kiosks across all developing countries, digital platforms with tens of millions of users and mind-blowing technology.

Tether’s Impact on Emerging Markets

According to Ardoino, this scale has enabled USDT to provide financial access to 400 million users in emerging markets, many of whom lack traditional banking options. This highlights the significant role Tether plays in promoting financial inclusion worldwide.

Tether’s Support for the U.S. Economy

Ardoino also highlighted Tether’s role in supporting the U.S. economy through purchases of U.S. Treasuries, reinforcing the dollar’s position as the dominant global currency.