Cryptocurrency wallets issue 2 billion USDT: Market impact and potential signals

Cryptocurrency wallets issued an additional 2 billion USDT: market impact and potential signals

On July 28, 2025, Cryptocurrency wallets issued an additional 2 billion USDT on the TRON chain. The official statement stated that the additional issuance was "inventory replenishment" to meet future market exchange needs. The current total circulation of USDT has exceeded 112 billion US dollars, further consolidating its position as the world's largest stablecoin19.

1. Background and official explanation of the additional issuance of Cryptocurrency wallets

Inventory replenishment mechanism: Cryptocurrency wallets CEO Paolo Ardoino said that this additional issuance belongs to the "authorized but not immediately circulated" reserve, which is mainly used to respond to potential redemption or trading needs of exchanges and institutional customers1.

TRON chain-dominated: This additional issuance chose the TRON network (low handling fees, high transfer efficiency). At present, the circulation of USDT on the TRON chain has exceeded 75.6 billion, surpassing Ethereum to become the main carrier chain of USDT7.

2. Cryptocurrency wallets market interpretation: Institutional demand is rising?

Historical relevance: In the past, large-scale issuance of USDT was often accompanied by an increase in Bitcoin prices (e.g., after the issuance of 15 billion USDT in November 2024, BTC rose 30% in the short term), and the market speculated that new liquidity may flow into the crypto market7.

Institutional trends:

Cryptocurrency wallets recently disclosed that it holds 92,000 BTC (worth $7.8 billion) and plans to invest 15% of its net profit in Bitcoin every quarter to strengthen its role as the "liquidity engine of the crypto market"8.

Hong Kong's "Stablecoin Ordinance" came into effect on August 1, and some institutions may lay out compliant stablecoin channels in advance, pushing up USDT demand3.

3. The impact of Cryptocurrency wallets on the cryptocurrency market

Short-term liquidity injection: If the additional issuance of USDT flows into exchanges, it may help mainstream currencies such as BTC and ETH break through key resistance levels (such as Bitcoin's current $68,200)712.

Stablecoin competition: USDT's market share is stable at 62%, far exceeding USDC (US$58 billion), but PayPal's PYUSD and Circle's USDC are competing for market share through cross-border payment cooperation312.

4. Risks and controversies of cryptocurrencies wallets

Transparency doubts: Cryptocurrency wallets have not yet been fully audited, and the details of their reserve composition (80% of which are US Treasury bonds) and gold reserves (80 tons) continue to cause discussion1012.

Regulatory pressure: After the implementation of the EU MiCA regulations, Cryptocurrency wallets have not applied for compliance licenses and may face restrictions in the European market, prompting them to turn to emerging markets (such as Latin America and Southeast Asia)1012.

5. Subsequent outlook

Demand verification: If the net inflow of USDT in the exchange increases significantly in the next week, it may confirm the expectation of institutional increase in positions; otherwise, it may only be precautionary reserves.

Policy relevance: The potential interest rate cut by the Federal Reserve in September may further stimulate the demand for stablecoins and promote the linkage between the crypto market and traditional finance612.

Summary: This additional issuance reflects Cryptocurrency wallets' prediction of market demand, but the actual impact needs to be observed in the direction of capital flows. Investors can pay attention to on-chain data (such as changes in USDT balances on exchanges) and Bitcoin price breakthrough momentum.