1 billion USDT worth TRC20 swapped for ERC20, 20 million USDT worth TRC20 swapped for AVAX.
Tether is stated to process around 300 million worth of redemption every day.
Tether is a centralized stablecoin, its value is pegged to 1 USD. The current market scenario has caved a fear in investors’ minds, Terra USD, an algorithmic stablecoin is struggling to back the $1 that it promised its investors to peg.
Amidst this, Tether has planned to exchange its TRC20 token with ERC20 & AVAX, and this swap is anticipated to support the stablecoin. The exact figures represented for the chain swap were mentioned in the tweet, TRC20 to ERC20 for 1 billion USDT and TRC20 to AVAX for 20 million USDT.
Tether promises that market supply will remain the same during the exchange process.
Tether’s Redemption Process
Tether has been continuing the redemption process even during down-market days. The withdrawal transactions were backed up smoothly through this chaotic environment too. Authentic investors were able to redeem their USDT for $1 as pegged previously. It states, that in just a day 300 million requests are submitted for processing and a total of 2 billion have already been processed.
Paolo Ardoino, Tether CTO, said:
“Tether is gratified that the market continues to show its trust and confidence in Tether: the first, largest, and most transparent, innovative, and liquid stablecoin. We are a quickly evolving industry and as an industry, we will learn from these events together.”
Many examples are also revolving around social media explaining that some are gaining USDT for 95 cents and below from other platforms and regaining it for $1 in Tether.