Tether’s CEO Paolo Ardoino has highlighted the firm’s impressive performance and the use of its stablecoin, USDT, as a hedge against inflation. Speaking on the Wolf of All Streets Podcast, Ardoino noted the company’s $85 billion market cap and $700 million in Q4 2022 earnings, despite turbulence in the cryptocurrency market and black swan events.
The demand for stablecoins is increasing, especially in developing countries, prompting the US House Financial Services Committee to propose a federal regulatory framework for them. It tasks the Federal Reserve with outlining the issuing conditions while preserving state authorities’ legal power.
However, significant downturns and bankruptcies in the web3 space have caused Congress to explore regulatory strategies, but progress is slow due to geopolitical tensions, inflation concerns, and the upcoming 2024 election.
In response, US President Joe Biden issued an executive order last year for government supervision of cryptocurrency and assessing the potential of a digital currency. Meanwhile, Tether’s stablecoin looks to be weathering the storm with resilience.