Tether has launched a new stablecoin MXNT pegged to Mexican Peso
MXNT will be first available on Ethereum, Polygon, and Tron blockchains.
In a statement released earlier today, Tether has announced the launch of a new stablecoin called MXNT which will be pegged to the Mexican Peso. This will be Tether’s fourth stablecoin after the launch of USDT, Euro pegged EURT and Chinese Yuan pegged CNHT.
Tether Launches A New Stablecoin Pegged To Mexican Peso
Labeled MXNT, the new stablecoin will reportedly target the Latin American market and will leverage the gap between multibillion-dollar flows of remittances and the difficulties involved in transferring money as a base to further expand its use cases.
“According to data from Triple-A, The multibillion-dollar flow of remittances into Mexico and the difficulties involved with money transfers, have created a unique opportunity for stablecoin usage and adoption.” The statement later adds
Citing the data from a crypto payments company Triple-A, Tether adds that 40% of Mexican companies are looking forward to exploring cryptocurrencies and blockchain in some form, making Mexico a prime hub for such crypto interactions.
According to the data sourced by Triple-A, cryptocurrencies are advancing at a rapid pace in Mexico with over 2.5% of its population owning cryptocurrencies in some form. Mexico’s leading crypto exchange Bitso had earlier reported an increase of 342% in its trading volume (2020) demonstrating the soaring popularity of cryptocurrency in the region.
Speaking about the newly launched MXNT stable coin, Paolo Ardoino, CTO of Tether started:
“We have seen a rise in cryptocurrency usage in Latin America over the last year that has made it apparent that we need to expand our offerings…Introducing a Peso-pegged stablecoin will provide a store of value for those in the emerging markets and particularly Mexico. MXN₮ can minimize volatility for those looking to convert their assets and investments from fiat to digital currencies. Tether customers in this entirely new market will be able to benefit from the same transparent customer experience.”
Launched in 2014, Tether remains one of the most influential stablecoins to date, with a market capitalization of nearly $80.46 billion.
The MXNT stablecoin will mark the company’s first foray into the Latin American market and will be initially available on Ethereum, Polygon, and Tron blockchains.