Tether CEO Paolo Ardoino Abandons Plans for Company Blockchain
Tether CEO Paolo Ardoino has announced in an interview with Bloomberg News that the company has decided to abandon plans to create its own blockchain. Despite having significant technical resources to implement such a project, Ardoino believes it would be commercially impractical.
Ardoino explained that the blockchain market is already saturated and dominated by several major players. According to DefiLlama, 86% of the total value locked (TVL) in assets, amounting to $133.2 billion, is controlled by the five largest blockchains out of the 306 in existence. This high market concentration indicates the dominance of established platforms.
For Tether, blockchains are simply a «transportation environment» where factors such as transaction speed, low fees, variety of opportunities, and security are crucial. Ardoino noted that as long as the USDT stablecoin remains safe and reliable within existing blockchains, the company sees no need to create its own network.
In Ardoino’s view, Tether can continue to operate within existing blockchains without developing its own solution. This allows the company to focus on maintaining a high level of security and stability for its cryptocurrency without the need for significant investments in developing a new blockchain.
