Brothers, the on-chain data has been a bit scary lately.
I don't know if you have been paying attention to Tether treasury's recent actions? Just last week, Paolo (Tether CTO) issued an additional 1 billion USDT on Tron. I see many people still naively shouting 'the bull is coming back quickly', thinking this is good for the market. I think you are only seeing half of it but missing the real big Alpha.
Let's review a very simple logic. Now the market value of USDT has surpassed 100 billion US dollars, but what is its biggest circulation network? It is Tron. This is quite awkward, as the world's largest stablecoin issuer, Tether has to put hundreds of billions of liquidity on Sun Yuchen's chain every day. If it were you, would you be anxious? Not to mention Ethereum's ridiculously high Gas fees, making it impossible to do small payments.
So I have always believed that the emergence of Plasma (
$XPL ) is not just to issue a coin to make money, but rather Tether is paving a 'back road' for itself.
I looked up the white paper details of
$XPL and found an interesting piece of data: it supports direct payment of Gas with stablecoins, or simply let the issuer pay for Gas. What does this mean? This means in the future when you transfer USDT on Plasma, the experience will be exactly the same as using Alipay—no friction, no damn ETH wear and tear.
This is why I am heavily invested in
$XPL . You need to understand this situation: Tether needs a completely controlled, technology layer compatible with Bitcoin security, and extremely cheap 'favored child chain'. Once they start migrating hundreds of billions of USDT from Tron to Plasma, even if only 10% is migrated, the burning amount of XPL will be an astronomical figure.
At the current coin price, I feel that the expectation of 'Tether migration' is completely not priced in. Everyone still sees it as an ordinary public chain. One day when Binance or OKX announces support for USDT deposits and withdrawals on the Plasma chain, by then if you want to get on board, you will probably just watch the K-line and regret it. Let's analyze Tether's 'hidden agenda': why is XPL a move they have to make?
@Plasma #plasma