In an official announcement on its website, Tether announced that it will launch its stablecoin, tether (USDT), on the Algorand blockchain. This is the fifth blockchain on which tether will be launched.
In a response, Tether’s CTO, Paolo Ardoino, writes that the expansion to the Algorand blockchain will contribute to the interoperability of different blockchains. Tether was already available on the blockchains of Ethereum (ETH) , TRON (TRX) , EOS (EOS) and Omni. Ardoino said:
The expansion from Tether to the Algorand ecosystem is a fantastic opportunity for us to further contribute to blockchain interoperability and collaboration. … We are very excited about the potential this makes possible for other projects in the decentralized ecosystem and we look forward to working with them in the future,
To introduce the Algorand ecosystem, Tether writes in the announcement that Algorand’s processing speed is almost the same as that of the largest payment processors in the world:
Algorand is working on a public, permissionless proof-of-stake blockchain with an open source approach to realize the vision of a limitless economy. The Algorand consensus mechanism has been developed to promote open participation, security and performance within a network that is decentralized. With the consensus mechanism that a new block is processed just as quickly and can be spread throughout the entire network, Algorand’s transaction speed is comparable to large payment and financial networks, all safe and scalable for billions of users
The stablecoin tether is extremely popular among crypto traders. They use the stablecoin to quickly and easily convert their cryptocurrencies into assets with a stable value. However, Tether is under fire as there has never been an audit of the company’s reserves. It therefore remains unclear whether Tether can actually cover all USDT in circulation.
Tether recently made it in the news because the company minted 5 billion USDT instead of 50 million due to the mistake of one of their employees.