A few weeks ago, Paxful announced that it had opened support for the Tether (USDT) stablecoin on its platform, activating several updates to its products, such as hedging, i.e. the ability to convert BTC to USDT and protect users from market volatility.
Well now, a few weeks later, Paxful has announced that it has traded around $2 million worth of Tether.
From the data provided by Paxful, it is clear that there have been thousands of transactions totalling just under $2 million with transactions from BTC to USDT and vice versa.
What is Paxful?
It should be noted that the Paxful platform allows the exchange of BTC in a very simple way, as it is possible to use different payment methods depending on the user’s preferences.
Among them, there are gift cards, but also PayPal and others.
Tether on Paxful
In any case, the arrival of Tether (USDT) brings greater security on the volatility side of BTC: if someone wanted to sell an X sum, then they would want that sum not to fluctuate in value and so they can convert BTC into a stablecoin and trade with that sum that will not change in value.
This is in fact the advantage of stablecoins and the reason why Tether, which is the most popular and long-lived stablecoin on the market, is so successful.
The service was initially only available to users in Nigeria, as recalled by Paxful’s co-founder Artur Schaback:
“To honour one of our biggest markets, we decided to offer the feature to top users in Nigeria first. Confirming its efficiency and ease of use, we received practical feedback that we applied to polish the trading feature, and now we are ready to present it to the rest of the world”.
In addition, on Paxful it is possible to transfer USDT through one’s own account to other users, without the risk of incorrect transaction details as it is possible to make transfers using usernames on the platform.
Paxful certainly represents a real point of reference especially in Africa, a continent that has always been very interested in the use of cryptocurrencies.