What if Tether (USDT) flips Ethereum (ETH)?

[Abiky]

I've seen that now USDT has reached a market cap of over $10 billion dollars (USD). The sudden rise could've been a result of the massive hype surrounding "De-Fi" and stablecoins. With Tether issuing new units (supply) of USDT, it makes me wonder whenever its "triumph" will last for long? After all, crypto land behaves in strange and bizarre ways. Imagine if USDT flips Ethereum on the market. All the eyes will be on Tether instead of Ethereum, as people are usually "following the money". I think Tether will continue to issue new coins on the Blockchain in order to maintain a high market cap ranking. Only then, USDT will stand alongside Bitcoin as the world's second-largest cryptocurrency (stablecoin) by market cap.

What do you think will happen if USDT flips ETH on the market? Will everything remain the same? Or will ETH lose attention from the mainstream world? Will USDT be able to maintain such high market cap for a long time? Your input will be greatly appreciated.

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[shinratensei_]

Everything will remain the same just like when USDT was replacing ripple in the third position of CMC. More than 6 billion USDT already issued on ethereum chain

https://etherscan.io/token/0xdac17f958d2ee523a2206206994597c13d831ec7

Mostly people prefer to use ERC20 USDT ratherthan omniUSDT or USDTtron

I personally always use ERC20 USDT

[meanwords]

Who cares? Those are 2 different project anyway and it doesn't really matter to people if USDT beats Ethereum in terms of marketcap. USDT doesn't really serves any purpose except for being a stablecoin. A coin that is used mostly on trading (and wash trading).

You make it sound like there is a war going on between the two. At the end of the day, people will follow whatever is convenient to them. They can even use any of those for whatever reason they want because those 2 serves different purposes.

[nomenclatur]

it could happen if the tether USDT continues to be an option for project "De-Fi" really makes everyone interested in investing in stablecoin will hit ethereum in the near future if this happens naturally ethereum will be eliminated at rank 2 coinmarketcap made to popular ethereum will collapse and stablecoin will be a coin that is in the trust and become coin to 2 top coinmarketcap.

[babygun]

I've seen that now USDT has reached a market cap of over $10 billion dollars (USD). The sudden rise could've been a result of the massive hype surrounding "De-Fi" and stablecoins. With Tether issuing new units (supply) of USDT, it makes me wonder whenever its "triumph" will last for long? After all, crypto land behaves in strange and bizarre ways. Imagine if USDT flips Ethereum on the market. All the eyes will be on Tether instead of Ethereum, as people are usually "following the money". I think Tether will continue to issue new coins on the Blockchain in order to maintain a high market cap ranking. Only then, USDT will stand alongside Bitcoin as the world's second-largest cryptocurrency (stablecoin) by market cap.

What do you think will happen if USDT flips ETH on the market? Will everything remain the same? Or will ETH lose attention from the mainstream world? Will USDT be able to maintain such high market cap for a long time? Your input will be greatly appreciated.

While the market cap of Tether is rising, they all still a long way behind the marketcap of Ethereum.
As you mention, there is nowadays a lot of hype around De-fi and stablecoins; eventually this will fade out and marketcap will drop significantly of Tether.
So in the long end it doesn't really matter as Ethereum has much more potential and future than Tether.

[Akiko]

Its really possible to overtake ETH in overall market cap by USDT if they continue adding more supply of it, I will not be surprised if this things happens.
Nothing will be new if many adopt and hold that currency,as if they can earn any profit holding that currency this is only good to use for trading if you want stable currency but for earning or possible to profit  many will prefer to use other crypto currency.

[Moeda]

I think all those possibilities will continue to happen. This happened when Ripple defeated Ethereum. But the USDT to increase market capitalization must add the amount of supply, and Ethereum also one of the coins does not have a limited amount of supply. If you attention to the current daily volume, every day Tether occupies the number one ranking volume.

[TimeTeller]

Who cares? Those are 2 different project anyway and it doesn't really matter to people if USDT beats Ethereum in terms of marketcap. USDT doesn't really serves any purpose except for being a stablecoin. A coin that is used mostly on trading (and wash trading).

You make it sound like there is a war going on between the two. At the end of the day, people will follow whatever is convenient to them. They can even use any of those for whatever reason they want because those 2 serves different purposes.

I guess I will stick to ETH as their platform has real usage in the market.
Whereas, USDT is a stablecoin, where it only secure its volatility factor.
They are 2 different platforms with separate usage, so I don't think they are competing with each other.

[tvplus006]

...So in the long end it doesn't really matter as Ethereum has much more potential and future than Tether.

There is very little in common between these two coins and their goals are different, so they cannot compete with each other. The cryptocurrency market requires a stablecoin as popular as USDT, and its capitalization will constantly increase. Therefore, I assume that such a day will come when Tether will overtake the capitalization of ETH.

[CashbackLover]

Absolute nothing to be worried about here, USDT represent Dollar and Ethereum is the back bone of all smart contract, USDT is even running on Ethereum blockchain so why they worry? They aren't same thing, their usefulness is different and that's clear to understand

[peterlustig]

I've seen that now USDT has reached a market cap of over $10 billion dollars (USD). The sudden rise could've been a result of the massive hype surrounding "De-Fi" and stablecoins. With Tether issuing new units (supply) of USDT, it makes me wonder whenever its "triumph" will last for long? After all, crypto land behaves in strange and bizarre ways. Imagine if USDT flips Ethereum on the market. All the eyes will be on Tether instead of Ethereum, as people are usually "following the money". I think Tether will continue to issue new coins on the Blockchain in order to maintain a high market cap ranking. Only then, USDT will stand alongside Bitcoin as the world's second-largest cryptocurrency (stablecoin) by market cap.

What do you think will happen if USDT flips ETH on the market? Will everything remain the same? Or will ETH lose attention from the mainstream world? Will USDT be able to maintain such high market cap for a long time? Your input will be greatly appreciated.

I don't think it will have any effect on ETH even if USDT takes the number two spot from ETH.
At the pace, USDT is printing money I think it will be able to maintain that high market cap for a long time unless govt. decides to ban stable coins.

BTC and ETH will always be the number 1 and 2 coin for me no matter what market cap they have.

[momchilandonov]

Tether is stable, its imposiible to speculate here. Thats why it cant flip ETH

[Botnake]

I think it will not happen anytime soon,  Ethereum still hold a good advantage over Tether on its Market Cap.
When BTC is stable like this, we might see some surge of demand for Tether, but I don't want to expect it will replace ETH in the 2nd spot just because it has recently replace XRP on it's spot.

I know XRP back then replace ETH on the 2nd spot, so it's also possible, but that was the time when ETH was oversold, and what I am seeing now is that ETH is slowly getting it's real market, stable and quite bullish now.

[mexite]

Ethereum remains the number 1 choice for DeFi products and other DApps. If tether flips the network, it will be a sort of blessing on disguise - probably faster confirmation time and lower miner's fees. But I don't see ERC-20 usdt flipping ETH now cos a lot of people are comfortable with the underlying blockchain, and if they go, we have tons of projects and DeFis built on ethereum network. Eth will still be up there for long.

[bluebit25]

Surely nothing will happen, the market will still be stable. These are 2 different projects and the purpose of the operation is completely different, so it will not adversely affect projects. Like USDT has surpassed XRP and XRP is still growing well these days

[bittick]

it could happen if the tether USDT continues to be an option for project "De-Fi" really makes everyone interested in investing in stablecoin will hit ethereum in the near future if this happens naturally ethereum will be eliminated at rank 2 coinmarketcap made to popular ethereum will collapse and stablecoin will be a coin that is in the trust and become coin to 2 top coinmarketcap.

You can see there was a very big gap between ethereum and USDT and it will never happen until USDT will have printed more than what already achieved by bitcoin and remember it can't happen easily.
that needs a lot of money for USDT to surpass ethereum MCAP too.

[Abiky]

Everything will remain the same just like when USDT was replacing ripple in the third position of CMC. More than 6 billion USDT already issued on ethereum chain

https://etherscan.io/token/0xdac17f958d2ee523a2206206994597c13d831ec7

Mostly people prefer to use ERC20 USDT ratherthan omniUSDT or USDTtron

I personally always use ERC20 USDT

Could be. But in this strange and bizarre world of crypto, people often link a cryptocurrency's market cap to its success. Which means that if ETH gets "flipped" by Tether USDT, all the attention will be on the stablecoin itself. It's good to know that the ERC-20 token version of USDT has the most transaction activity, as it benefits the underlying Blockchain (ETH) itself. Since ETH is used as "gas" for USDT transfers, it could benefit from USDT's popularity in the mainstream world. A good thing USDT has relative to other stablecoins on the market, is that it "lives" on multiple blockchain networks. In case a Blockchain network fails or becomes disrupted in the short term, USDT can still be used via other chains. People can use USDT with lower fees and faster transaction confirmation times, by switching to more scalable blockchain networks such as TRON or EOS.

I believe that USDT has gone all the way to the moon in terms of market cap, because of the hype surrounding "De-Fi" and Stablecoins in these times of turmoil. We'll have to wait after the demise of COVID-19 and the recovery of the mainstream economy, to determine whenever USDT will maintain such position on the market or not. For what I know, a stablecoin overcoming a traditional cryptocurrency like Bitcoin or Ethereum won't make any difference. That's because a stablecoin is entirely different from cryptocurrencies we know and love today. It's like comparing apples vs oranges if you ask me. All in all, it seems that centralized stablecoins will have a very bright future. Just my thoughts

[shakesbear]

The Tether is popular for payments and transfers, it is stable and fast, transactions are relatively inexpensive, I think this explains the popularity.

[Cheesus]

Everything will remain the same just like when USDT was replacing ripple in the third position of CMC. More than 6 billion USDT already issued on ethereum chain

https://etherscan.io/token/0xdac17f958d2ee523a2206206994597c13d831ec7

Mostly people prefer to use ERC20 USDT ratherthan omniUSDT or USDTtron

I personally always use ERC20 USDT

Though it's right but what I think USDT Tron version will be more popular than ERC20 USDT! Because Tron USDT has zero withdrawal fees on most of the reputed exchange! I was using ERC20 USDT for years, but I changed my mind and now moved in Tron USDT, only because it's free to withdraw!

[hatshepsut93]

Tether is a stablecoin, aside from some daytrading, people don't invest in it, they use it as an instrument for other trades. It can take even the #1 spot, it still won't have any big consequences on the crypto market. Plus, Tether exists on Ethereum's blockchain, so it might be still viewed as a "win" for Ethereum.

In the past XRP flipped ETH, and ETH didn't die or fall into a bear market. Crypto ranking isn't very important, aside from the first place. If ETH even briefly flipped Bitcoin in 2017, maybe ETH would have had slightly better position for the rest of its time.