GLOBAL — Global peer-to-peer bitcoin marketplace, Paxful has added Tether (USDT), a type of a digital currency that belongs to a class of cryptocurrencies known as stablecoins, to its platform.
A stablecoin is a type of cryptocurrency whose value reflects an existing fiat currency such as US Dollars.
According to a statement from Paxful, the inclusion of USDT, the world’s largest stablecoin by market value, will assist users in combating a volatile market, protecting their assets, and expanding their portfolio.
The crypto industry has seen a surging demand for a stable digital currency amidst fears of an economic recession in both traditional and digital markets.
In the last 12 months, Tether has emerged as the most stable currency of choice for main investors and is reported to have a market capitalization of over $13 billion at the moment.
Its popularity may have thus informed Paxful’s decision to add it to its platform even as it seeks to offer its customers more cryptocurrency options.
“We consider this a big step for us since this is the first cryptocurrency other than bitcoin we have on the platform,” said Ray Youssef, CEO, and co-founder of Paxful.
“We always listen to our customers. We understand that some come to Paxful for wealth generation and turn to crypto for stability when their national currency is affected by inflation. We hope that this can aid them to be more in control of their finances.”Ray Youssef – CEO and co-founder of Paxful
Paxful explained that he addition comes with a hedging option, allowing users to instantly convert BTC to USDT and vice versa.
Paxful noted that this hedging option will help users protect their funds during bitcoin price fluctuations.
The company also plans to enable USDT trading on the platform just as it allows bitcoin (BTC) trading in the Paxful marketplace.
Since inception, Paxful has added 1 million users per year and so far in 2020 the company says that it is on track to sign up an additional 2 million users by the end of the year.
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