Tether CEO Explains Why USDT Thrives on the TRON Network

In a recent statement, Paolo Ardoino, the CEO of Tether (USDT), the world's largest stablecoin producer, delved into the reasons behind USDT's prevalent use within the TRON network (TRX). Ardoino explained the low transaction fees as a primary incentive for users to opt for TRON when sending USDT.

Ardoino tactfully referred to it as "Blockchain Y" in his statement, avoiding direct mention of TRON while highlighting that it could be any blockchain. While the broader cryptocurrency industry spent eight years implementing their "Blockchain Z" scalability plan, prioritizing DeFi and memecoins, Ardoino predicted that "Blockchain Y" would emerge as the go-to gas fee solution in emerging markets and developing countries. He emphasized that it was the sole affordable and speedy payment method for individuals who couldn't afford $5 for mobile phone transactions.

As a result, tens of thousands of Payment Service Providers (PSPs) invested significant resources into integrating "Blockchain Y." This first-mover advantage is now firmly rooted in many companies.

Ardoino also noted that, despite the existence of numerous Layer 2 solutions over "Blockchain Z," payment companies might struggle to determine which one to use. He underscored that having multiple options was great, but time and focus were critical.

Furthermore, Ardoino emphasized that Tether doesn't favor one blockchain over another. According to him, Tether supports various blockchains as they serve as the transportation layer for USDT and its other tokens. Users decide what suits them best based on support, speed, and cost.