Tether Introduces a New Stablecoin Backed by the Mexican Peso

Tether Introduces a New Stablecoin Backed by the Mexican Peso

May 26, 2022 Off By Roland G

Tether has announced the creation of a new Mexican peso-pegged stablecoin, marking the company’s first foray into Latin America. 

Tether
Tether | Source: Financialreport24

Tether said that the stablecoin, dubbed MXNT, will initially be available on the Ethereum, Tron, and Polygon blockchains. 

For instance, this is Tether’s fourth fiat-pegged stablecoin after the US dollar-pegged USDT, the offshore Chinese Yuan-pegged CNHT, and the Euro-pegged EURT. 

Tether’s CTO, Paolo Ardoino, stated in a statement, “We have seen a spike in bitcoin usage in Latin America over the previous year that has made it clear that we need to expand our products.” “Introducing a stablecoin tied to the Mexican peso will provide a store of wealth for those in emerging markets, especially in Mexico.” 

According to Tether, MXNT will serve as a proving ground for onboarding new users in Latin America. Also, it will pave the way for future fiat-pegged stablecoins in the region. 

Tether’s Euro and Yuan-pegged stablecoins are more popular. However, its USD-pegged stablecoin USDT has recently witnessed huge redemptions due to the collapse of algorithmic stablecoin TerraUSD (UST) earlier this month. 

According to The Block’s Data Dashboard, Tether (USDT) is still the world’s largest stablecoin, with a total supply of over 77 billion coins.