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Cryptocurrency

Tether: King of digital dollar-denominated asset

Tether (USDT), the first successful stablecoin and still by far the biggest.

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Tether expected to surpass Ethereum, based on strength of the U.S dollar, ther mints 80,000,000 USDT to unknown wallets within 24 hours, Tether mints over a billion dollars’ worth of USDT, Tether mints over a billion dollars’ worth of USDT

Stablecoins are used as quote currencies in cryptoasset trading pairs, far more than fiat currencies on most exchanges. Unsurprisingly, a large majority of stablecoin trading volume is dominated by Tether.

There are more USDT (Tether) quote pairs in our coverage (out of the exchanges in our sample) than all other stablecoin trading pairs combined.

Data from coinmarketcap revealed that this most valuable stablecoin is trading at about $1, with a market capitalization of about $9.3 billion, and a daily trading volume of about $15 billion, at the time this report was drafted.

READ MORE: NNPC spends N535.9 billion on subsidy, FAAC in Q1 2020

Tether (USDT), the first successful stablecoin and still by far the biggest, was launched in late 2014 by a group called Tether Limited. It introduced a relatively simple concept for creating a crypto asset that maintained a stable price.

For every USDT issued, the Tether Foundation kept $1 USD in reserve (at least in theory). This kept the USDT price stabilized around $1 since each unit of USDT could be redeemed for one of the US Dollars in the reserve.

Quick fact: Tether is designed as a blockchain-based cryptocurrency whose digital coins in circulation are backed by the same value of traditional fiat currencies like the U.S dollar, Japanese Yen, or the Euro. It trades under the ticker symbol USDT.

READ MORE: Within 72 hours USDC Treasury transfers over 50,000,000 USDC to wallet

In this sense, Tether was basically a digital wrapper for a dollar-denominated liability, starting off relatively slowly, with little activity in its first year.

However, when Bitcoin’s price began to rise in 2017, Tether started to take off. Its supply passed 1M for the first time in January 2016. By January 2017 it was a little less than 10M. By January 2018, as Bitcoin’s price was peaking at close to $20K, the Tether supply had grown to over 1.4B.

Olumide Adesina is a France-born Nigerian. He is a Certified Investment Trader, with more than 15 years of working expertise in Investment trading. Follow Olumide on Twitter @tokunboadesina. He is a Member of the Chartered Financial Analyst Society.

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Cryptocurrency

No retreat no surrender, Ethereum explodes

Ethereum was trading at $1,532.05 on the FTX exchange with a 24 daily trading volume of $26.6 Billion.

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Ethereum whale transfers 200,000 ETH, as price drops to $387

Ethereum has been on a record buying spree amid its most recent price correction as institutional investors buy more at its dips.

At the time of drafting this report, Ethereum was trading at $1,532.05 on the FTX exchange with a 24 daily trading volume of $26.6 Billion. Ethereum is up 11.54% for the day.

Ether is the crypto asset that powers the Ethereum network. Crypto developers build apps on the Ethereum network, as it offers a unique type of decentralized software platform, which is different from the flagship crypto, which is designed to just be a currency or store of value.

READ: Binance Coin moves faster than Tesla, gains 114% in a week

Prakash Chand, Managing Director at FD7 Ventures also revealed also believes Ethereum would do far better than Bitcoin in the coming years;

“I’ve been lucky enough to spend lots of time with the brightest minds in crypto and I’m willing to bet that each of Ethereum, Cardano, and Polkadot will be more valuable than Bitcoin within the next few years,” he said.

That being said there has never been so much sustained activity of addresses interacting with Ethereum.

The 3-month average of aa’s has broken over its previous all-time high and it doesn’t look like it wants to go back!

READ: Bitcoin’s transaction fees Jump by 344%

READ: Investor moves $1 billion for $7 fee on Ethereum Blockchain

In addition, Ethereum (ETH) miners seem to have an edge now over their arch-rivals, as they have surpassed Bitcoin (BTC) miners on transaction fees charged for some months now.

Crypto market data aggregator, Messari revealed key metrics showing that it is the longest period for which Ethereum’s transaction fee revenue has surpassed BTC in the crypto asset’s history.

bitcoin train

This prevailing macro is positive for Ether miners whose turnovers have been increased by higher fees and more transactions. In fact, Ethereum’s network hash rate has been growing consistently, having reached a near two-year high.

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Cryptocurrency

Dubai-based hedge fund plans to sell $750 million worth of Bitcoin for Cardano and Polkadot

FD7 Ventures has revealed plans to sell about $750 million worth of their Bitcoin holdings over the next month.

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IMF calls crypto "special currency" and educates the public, Crypto: Why investors are rushing to DeFi assets, total market capitalization of cryptocurrencies, Crypto, Whales move 100,000,000 Tether, USDT in less than 24 hours

A Dubai-based, global crypto investment fund, FD7 Ventures with about a billion-dollar under management recently reveals a plan of selling about $750 million worth of their Bitcoin holdings over the next month to increase the company’s positions in Polkadot and Cardano.

Such a move will effectively sell-off a majority of the investment fund’s flagship crypto assets in buying rising cryptos like Cardano and Polkadot. According to the hedge fund, the increase in these altcoin holdings will better cater to the needs of its investors who are looking to diversify their portfolios in the growing crypto market.

  • Polkadot’s native DOT token serves two clear purposes: providing network governance and operations, and creating parallel chains by bonding. Its founders are Dr. Gavin Wood, Peter Czaban, and Robert Habermeier.
  • The fast-rising crypto asset is an open-source multichain protocol that enables the cross-chain transfer of any data or asset types, cryptocurrencies, thereby expanding blockchains interoperable with each other.
  • Cardano (ADA) has been tipped to outperform, on the bias that it had its smart contract launch last month, which will lead to a significant amount of applications built on Cardano in 2021.
  • This means that more developers will see it as an attractive medium for building their desired apps.

READ: Red Sunday: Crypto market drops $70 billion in value as Bitcoin, Ethereum, Litcoin tumble heavily

Also, Prakash Chand, Managing Director at FD7 Ventures revealed why such crypto assets based on their fundamentals showed more future.

“Aside from the fact that Bitcoin was first to market and society has given it meaning as a store of value, I think Bitcoin is actually pretty useless,” Chand said.

Chand says the firm intends to sell $750 million in Bitcoin in order to increase its exposure to Cardano (ADA) and Polkadot (DOT), which he believes are the foundation of the new internet and Web 3.0.

READ: Cardano to give crypto a cash like experience without internet access

The fund manager also believes Ethereum could outperform Bitcoin in the coming years;

“I’ve been lucky enough to spend lots of time with the brightest minds in crypto and I’m willing to bet that each of Ethereum, Cardano, and Polkadot will be more valuable than Bitcoin within the next few years,” he said.

The hedge fund has already started the process of converting their Bitcoin (BTC) to such Cryptos and expects to finish the conversion transactions by mid-to-end of March.

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