Tether Celebrates 71% Growth in USDT Wallets, Cites FTX Collapse for Self-Custody Shift

• USDT wallets grew 71% in 2024, following a 129% increase the year before.
• The FTX collapse led to more users maintaining USDT in self-custody wallets.
• USDT's popularity is rising in countries with volatile currencies like Argentina and Brazil.

Tether, the cryptocurrency firm behind the world’s largest stablecoin—USDT—recently celebrated the success of its endeavor. 

In an official post by Tether, the company commemorated the widespread adoption of USDT, and how USDT holdings have grown exponentially in the last two years. The publication details how USDT wallets have grown 71% in 2024, adding up to the already impressive mark of 129% growth the year before.

According to the statistics, investors’ behavior changed following the FTX debacle. Following the downfall of such a major cryptocurrency exchange—cryptocurrency holders began to move away from DEXs and starting maintaining their USDT in self-custody wallets. 

This phenomenon led to a massive increase in USDT holdings in wallets holding less than $1,000 worth of digital assets. In countries like Argentina, and Brazil—trade and labor payments in stablecoins like USDT are gaining popularity as a means of escaping the highly volatile and inflationary native currencies. 

In fact, Tether celebrates the fact that there are so many low-balance wallets, with the argument that this highlights USDT’s accessibility in providing a reliable currency to users who might not have access to traditional banks. 

Off of these low-income wallets, Tether commemorated the fact that nearly 30% of them decided to go back to holding USDT at one point, indicating the stablecoin’s functionality as a currency for everyday life.