Tether Expands into Commodity Trade Financing with $1.5 Billion Credit Deployment

According to Odaily, Tether Holdings SA has announced the deployment of approximately $1.5 billion in credit lines within the commodity trade financing sector, with plans for significant expansion in this area. The company intends to leverage its asset reserves, which are nearly $200 billion, to provide loans in both U.S. dollars and its stablecoin, USDT. These loans will support transactions involving commodities such as oil, cotton, and wheat. This move is seen as a strategic shift for Tether from being solely a stablecoin issuer to becoming a comprehensive platform for digital assets and trade financing, potentially enhancing the integration of stablecoins with traditional physical assets.