Tether’s (USDT) Market Cap Sees 17% YTD Surge Amidst Banking Crisis
The banking sector could potentially undergo a much-needed revamp, but until then, investors appear to be scrambling for a safety net. As the traditional financial world is rocked by the Credit Suisse chaos and the failure of a series of US banks, investors have flocked to the largest stablecoin, Tether (USDT). Silicon Valley Bank (SVB), Signature Bank, and Silvergate Capital, once served as a vital tripartite of lenders.
The fintech firm Circle admitted a $3.3 billion exposure to SVB, which briefly dragged its USDC token to 88 cents instead of its usual one-dollar price. The token has regained its peg, thanks to the lifeline provided by the US regulators as they moved to ensure that the deposits in Silicon Valley were safe while Circle promised financial support. USDC is the second-largest stablecoin and is also widely used in decentralized finance (DeFi). While the latest turns of events did not transpire into a Terra-like catastrophe, the threat was massive, and this has further aggravated the stablecoin crisis. This has resulted in USDC’s market cap falling by nearly 21% so far this year.
Source
https://t.me/Bitcoin_Crypto_Coin_Calendar
