The stablecoin supply of cryptocurrencies has been in a strong uptrend in March 2020. Last night, $60 million was added to the inventory of Tether, as the firm prepares for issuance of more USDT.
💵 💵 💵 💵 💵 💵 60,000,000 #USDT (59,854,340 USD) minted at Tether Treasury
— Whale Alert (@whale_alert) April 2, 2020
PSA: inventory replenish. Note this is an authorized but not issued transaction, meaning that this amount will be used as inventory for next period issuance requests.
The total liability (asset issued on-chain) has increased to $6.43 billion. As reported only a week earlier, Tether (USDT) supply was at $6.19 billion; it has risen by $240 million since then. Nic Carter, the founder of Coin-metrics tweeted,
Stablecoins collectively tacked on over $2b in March 2020 – by far their best month ever. Nontether stablecoins grew by $500m. Big winners: Tether, USDC, Binance Dollar
USDT Tether Supply on Ethereum, OMNI and Tron (Source)
As the traders remain in the fear of a downtrend due to the economic slowdown, the increase in stablecoin volume points towards bulls in the future.
In the past as well, the rise in the supply of Tether has acted as a precursor to a bull season in crypto markets. The last time a rise in the supply was witnessed was before the bull run of 2019 in May 2019; USDT increased from $2.56 billion to $3.28 billion in less than a month.