The Class Action case against Tether (USDt) does not seem to have affected the stablecoin so far.
In fact, despite a market manipulation lawsuit filed by a New York law firm, USDT remains by far the most widely used stablecoin in the world.
According to Flipside Crypto’s analysis, the stablecoin has dropped only 0.13% in the last 7 days, whereas the developers’ behaviour and the indicators have remained almost unchanged. User activity, on the other hand, decreased, but only by -0.2%.
In the latest Daily Mover newsletter, Flipside Crypto said that the evolution of legal disputes involving Tether had little impact on the actual use of USDt, and that its dominance in the stablecoin market has remained constant, with liquidity remaining high.
Moreover, according to the newsletter, crypto industry experts are finding the criticism against Tether largely unfair, especially given that, for example, central banks are resuming Quantitative Easing (QE) activities, and that in the United States banks operating with fractional reserve are proliferating.
Flipside Crypto’s Director of Customer Relations, Avi Meyers, said:
“Based on our evaluations of crypto asset fundamentals captured in FlIpside’s Fundamental Crypto Asset Score (FCAS), User Activity and Market Maturity components are the highest across all assets, indicating strong utilization and relative liquidity of USDt”.
In fact, when looking at the USDt chart of the last 30 days on CoinMarketCap, it is possible to see that the value has remained constant on average, with a higher volatility in the last few days only, and that trading volumes have remained high, especially when compared, for example, to those of 12 months ago, when volatility was also higher.
As such, it does not seem at this stage that the legal vicissitudes are having any significant impact on its value and use.