According to recent research published by the independent cryptocurrency outlet Protos, two companies have purchased two-thirds of Tether’s total USDT supply since its inception.
According to the report, the organizations, Alameda Research and Cumberland Global, have received at least $60.3 billion USDT from Tether’s outbound transfers between 2014 and October 31, 2021.
The majority of the volume, representing $49.2 billion in USDT (60 percent of Tether’s total supply), was acquired in 2020 alone, indicating a surge in interest in cryptocurrencies.
However, the companies’ closest competitors in terms of receiving USDT from Tether’s treasuries, such as Binance, Bitfinex, and Nexo Finance, among others, received a few hundred million USDT during the same time period.
Market makers profit by supplying dollar-backed stablecoins to centralized exchanges such as Binance, Huobi, FTX, Poloniex, and others, which provide liquidity for their various USDT trading pairs.
Leaders in Alameda Research
Surprisingly, Alameda Research is the single entity that has received the most USDT supply, followed by Cumberland Global.
Alameda Research, founded in 2017 by 29-year-old Sam Bankman-Fried, has acquired $36.7 billion USDT, accounting for nearly a third of all stablecoins minted to date. Surprisingly, $31.7 billion of the total amount was received in the previous year alone.
The parent company of popular cryptocurrency exchange FTX is Alameda Research, and the trading platform has benefited the most from Alameda’s USDT distribution.
According to Protos, Alameda has sent nearly $30.1 billion in USDT to FTX so far, accounting for nearly 87 percent of the company’s USDT acquisition.
Alameda also transferred $2.1 billion, $1.7 billion, and $115 million in USDT to its Binance, Huobi, and OKEx accounts, respectively, with the remaining $705 million sent to a non-exchange address.
Cumberland is next.
Cumberland was founded in 2014 as a cryptocurrency trading subsidiary of market powerhouse DRW. Tether has given the company $23.7 billion in USDT so far, with $17.6 billion acquired in the last year alone.
Cumberland sent $18.7 billion in USDT to Binance, while Poloniex and Bitfinex received $131.5 million and $9 million, respectively, of the total USDT received by Cumberland.
Cumberland sent a total of $30 million to Huobi and OKEx, while the remaining $4.9 billion was sent to a non-exchange address.
Tether’s Consistent Growth
Tether’s value has skyrocketed, with a market capitalization of more than $75 billion. The company recognizes the importance of its stablecoin in the crypto market and has ensured that the cryptocurrency is supported on 14 different blockchains, including Ethereum, Solana, and Avalanche, among others.
According to the cryptocurrency aggregator website CoinGecko, USDT is currently the fourth-largest cryptocurrency by market cap.