The blockchain and stablecoin firm, Tether has added another stablecoin to its arsenal. The new stablecoin, which will join other stablecoins, is pegged to the Peso.
MXNT Token Pegged To The Peso (1:1)
The new token, dubbed MXNT, will fluctuate according to the price value of the Peso. Other token offerings that Tether owns include the famous USDT. The USDT is tied to the American Dollar.
Another token is the EURT, which is anchored to the Euro. Also, the firms offer a token tied to the Chinese Yuan, the CNHT. In addition, the company also has a token, XAUT. XAUT is known as Tether’s gold and is anchored to the price of one ounce of gold.
The launch of MXNT will start officially on Tron, Ethereum, and Polygon. The company noted that a virtual Peso would benefit the remittance industry of Mexico. Tether’s Thursday announcement stated that;
“There is a great opportunity to adopt and use stablecoins in Mexico. This is due to a large number of remittances going into the country. Also, there have been difficulties with transferring funds. Introducing a stablecoin can help alleviate this issue.”
Also, the company believes a Peso-pegged token will place the currency on the blockchain market. This will provide a cheap and faster option to transfer assets.
The USDT of Tether remains the largest and most used stablecoin globally. Its capitalization constitutes over 5.7% of the entire crypto economy, which is $1.27 trillion. The market value of the token is over $73.2 billion.
Tether’s USDT Gains Massive Usage
On Thursday, the crypto market recorded a trading volume of over $86.43 billion. Out of it, the USDT accounts for around 52.55% ($45.42 billion) of the total trade. Also, the USDT remains the top pair to trade with BTC.
Tether’s CTO, Paolo Ardoino, noted that digital assets had gained huge popularity. He stated that;
“Crypto usage in Latin America has risen over the years. This makes it important for us to enter the market before it is saturated.”
MXNT’s introduction will allow the firm to onboard new users from Latin America’s crypto makers.
The CTO of Tether added that:
“Mexico and other emerging markets in the country gain from the MXNT. This is because it can help reduce volatility for investors. Those who want to change their assets from fiat to crypto can do so easily.”
Recently, the company released an assurance report of USDT for May. This was following the recent fall of Terra’s UST, which caused panic in the crypto market.
Another stablecoin issuer, Circle, also released a report for its USDC in May. The firm plans to continue releasing weekly attestation reports for its USDC.