On August 9, Tether (USDT), the creator of the world’s biggest stablecoin, said that it would engage in the forthcoming Ethereum’s Merge. This aligns Tether (USDT) and USD coins (USDC), dispelling concerns about a possible confrontational hard fork in September.
Tether voices support for Ethereum’s planned Merge update
Tether has officially announced its support for Ethereum’s impending Merge upgrade and conversion to a proof-of-stake (PoS) consensus blockchain, according to an official release by USD Coin (USDC) issuer Circle Pay.
The statement came on the same day that its stablecoin opponent vowed to solely embrace Ethereum’s much-anticipated update.
Tether considers that to minimize community disturbance, particularly while using tether tokens in DeFi projects and services, the shift to POS should not be weaponized to create instability and damage within the community.
As a result, Tether will constantly monitor the event’s development and arrangements and therefore will enable POS Ethereum in accordance with the official timetable. Tether feels that a seamless transition is important to the future viability of the DeFi ecosystem as well as its services.
USDT is now the biggest stablecoin in cryptocurrency, with a market capitalization of $66.6 billion, followed by USDC, which has a market valuation of $54.1 billion. Both stablecoins have a considerable portion of their total supply on Ethereum’s existing proof-of-work (PoW) network, with USDT at $32.3 billion and USDC at $45.1 billion.