Tether, the firm behind the most popular stablecoin linked to the US dollar, USDT, has debuted a new stablecoin pegged to the Mexican peso marking the company's entrance into the Latin American crypto market. The company operating the blockchain-enabled platform announced that the new stablecoin would get added to Tether's expanding product range, which now includes four fiat currency-backed assets. The new token will trade under the ticker MXNT with initial support including Ethereum, Tron, and Polygon with support for additional networks expected to be launched at a future date.
The announcement follows on from the firm's previous stablecoins USDT, EURT, and CNHT, which got pegged to the US dollar, Euro, and Chinese Yuan, respectively. MXNT was built by the same team of developers who created Tether USDT and is backed by the tether.to.
Tether has both Euro and Yuan-pegged stablecoins, but its USD-pegged stablecoin, USDT, is more popular. The present total quantity of USDT is greater than $77 billion (roughly Rs. 5,97,370 crore). However, Tether's supply has decreased by over 15 billion during the LUNA crash over the last month.
"We have seen a rise in cryptocurrency usage in Latin America over the last year that has made it apparent that we need to expand our offerings," said Paolo Ardoino, CTO of Tether.
"Introducing a Peso-pegged stablecoin will provide a store of value for those in the emerging markets and in particular Mexico. MXNT can minimize volatility for those looking to convert their assets and investments from fiat to digital currencies. Tether customers in this entirely new market will be able to benefit from the same transparent customer experience."
The entrance into Mexico has been met with enthusiasm and support from cryptocurrency investors. The news provides some comfort in a market that currently holds a negative view of stablecoins. When the crypto market panicked over LUNA and UST, Tether broke below its $1 (roughly Rs. 77.5) peg.
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