Solana was one of the cryptocurrencies hardest hit by the FTX crash as it was among the major FTX investments.
Solana Network’s negative developments continued in the wake of the FTX crash. Now, the blockchain network has been shaken by the decision of major central platforms not to use USDT and USDC, the two largest stablecoins in the market that are produced on the network.
The leading platforms that made this decision are Binance, PayBit, Oaks, and BitMEX. After development, SOL, the local asset of the Solana Network, operates in contrast to the market today. SOL, after seeing a 9% drop in the last 24 hours time frame and falling below $13, is currently trading at $13.7, down 3.5% at the moment.
After Binance, the largest cryptocurrency exchange in the market, announced yesterday that it has stopped trading USDT and USDC on the Solana Network, investors are now debating whether other major exchanges will follow Binance in the move.
On the other hand, it is noteworthy that the platform did not provide a detailed statement about this decision it took yesterday. The lack of a clear explanation caused speculation to once again spread in the market. At the heart of the speculation lie the lingering effects of the FTX collapse, which bankrupted Blockfi and eventually caused Genesis to suspend operations on its credit arm.
According to Tether, the Solana network is the third largest stablecoin network after Tron and Ethereum. According to the latest data, Solana Network holds 1.89 billion USDT, which is approximately 3% of the total supply.
Tether management said in a statement that major cryptocurrency exchanges are suspending USDT transactions on the Solana network, saying that the USDT printed on the Solana network is no different from that found on other blockchain networks, and confirmed that each token has a value of one dollar in Tether reserves.
The latest in stablecoins
Tether’s USDT continues to lead with a market capitalization of around $65.9 billion, which equates to a market share of 45.5% currently. However, the supply of USDT has fallen by 21% since the collapse of Terra.
In second place in terms of market share, Circle’s USDC comes in second place with a market share of 30% ($44.1 billion). The supply of USDC has also fallen by more than 20% since the summer.
BUSD from Binance, the third largest stablecoin, has continued to rise in recent months. BUSD recorded 30% growth compared to other stablecoins in the second half of the year, with a market share of 16% and a market capitalization of $22.9 billion.
Biannes announced the return of USDT trading and withdrawals on the Solana blockchain a little while ago today, Friday.