Tether's USDT market value falls $6.6 billion in 60 days, CryptoQuant data shows

A record decline in USDT's market value

The market capitalisation of USDT, the stablecoin issued by Tether, fell by $6.6 billion over the past 60 days, according to data published by the analytics platform CryptoQuant. The figure puts USDT's market value below $176 billion.

CryptoQuant's data indicates the decline is larger than the one recorded after the collapse of the crypto exchange FTX in December 2022. The platform did not give a reason for the drop in the report cited by Bits.media.

Market capitalisation is the total value of a token in circulation, calculated by multiplying its supply by its price. For a stablecoin, which is designed to hold a fixed value, a fall usually reflects tokens being redeemed or burned rather than a price move.

What is still open

CryptoQuant has not said what drove the decline, and Tether has not commented on the figures in the report. It is not yet known whether the fall reflects redemptions by holders, a change in how the data is counted, or another factor.