Tether market cap nears $70B as SEC crypto crackdown hurts stablecoin rivals
Tether's USDT has seen its market capitalization rebound to nearly $70 billion as the SEC ordered Paxos to stop issuing BUSD, the third-largest stablecoin. The U.S. Securities and Exchange Commission (SEC) wants to sue Paxos for issuing and listing stablecoin Binance USD (BUSD) to the benefit of its top-rival stablecoin Tether (USDT), whose market capitalization has risen to multi-month highs. BUSD market cap drops by $2 billion The SEC asserts that BUSD, a U.S. dollar-backed stablecoin , is a security, noting that Paxos has violated investor protection laws by white-labeling it. Related: Paxos ‘categorically disagrees’ with the SEC that BUSD is a security Since Feb. 13 when the news broke, the BUSD market cap has lost roughly $2 billion, down to around $14 billion as of Feb. 16 — the lowest since January 2022. BUSD circulating supply. Source: Messari As Cointelegraph reported, Binance has seen its withdrawals and BUSD redemptions surge post-Paxos crackdown. USD Coin market cap...