Ethereum Surpasses Tron as Top Blockchain for Tether with $60.3 Billion USDT Supply

Ethereum has reclaimed its position as the leading blockchain for Tether (USDT), surpassing Tron with a supply of $60.3 billion.

The milestone follows a 9.3% increase in USDT on Ethereum over the past week, while Tron experienced a 1.5% decline, bringing its supply to $58.1 billion, according to data from DefiLlama.

This marks Ethereum's return to dominance for the first time since August 2022.

Total USDT Supply Reaches $132 Billion

The total USDT supply has reached an all-time high of $132.9 billion, a bullish indicator for the broader cryptocurrency market.

Stablecoins like Tether are critical for providing trading liquidity and facilitating capital flow within the ecosystem.

Ethereum’s prominence stems from its adoption by financial institutions for tokenizing US dollar-backed assets.

Meanwhile, Tron remains popular in high-inflation regions due to its low fees and fast transactions, enabling efficient savings in stablecoins like USDT.

Ethereum solidified its lead on November 21, and the gap widened on November 23 when Tether minted $2 billion USDT on Ethereum compared to $1 billion on Tron.

Other blockchains in the USDT supply rankings include BNB Chain ($4.58 billion), Arbitrum ($3.09 billion), and Avalanche ($1.31 billion).

Tether maintains its position as the largest stablecoin globally, with a market capitalization of $132.3 billion.

It is followed by Circle’s USD Coin (USDC) at $39 billion. Ethereum also dominates USDC circulation, holding $26.3 billion or 67.5% of its supply.

Tron, however, lags in USDC supply due to decisions by Circle and Binance earlier this year to withdraw support for USDC on the Tron network.

Tether reported reaching 350 million users as of October, representing 4.2% of the global population, further highlighting its critical role in the digital asset ecosystem.

Cantor Fitzgerald Acquires 5% Stake in Tether

Financial services giant Cantor Fitzgerald has acquired a 5% stake in Tether, the world's largest stablecoin issuer, in a deal valued at up to $600 million.

The acquisition, which occurred within the past year, positions the firm to potentially leverage political influence through its CEO Howard Lutnick, who was recently appointed as U.S. President-Elect Donald Trump's Secretary of Commerce.

Cantor Fitzgerald's involvement with Tether could bolster the stablecoin issuer's standing amid increasing regulatory scrutiny.

Tether has faced ongoing investigations from the U.S. Attorney's Office for the Southern District of New York regarding alleged use of its stablecoin, USDT, in illicit activities such as terrorism financing.

Amid these challenges, Lutnick's political clout may play a pivotal role in navigating regulatory hurdles.

Tether's largest shareholder, Giancarlo Devasini, reportedly expressed confidence in Lutnick's ability to "defuse threats facing Tether," according to sources cited in the WSJ.

Lutnick, who has been working closely with Trump as a transition advisor, is vetting candidates for key government roles, some of which could directly impact oversight of Tether.

He is expected to step down as Cantor Fitzgerald's CEO upon Senate confirmation of his cabinet position.

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