Stablecoin issuer Tether is expanding into commodity lending, with CEO Paolo Ardoino stating they have already extended about $1.5 billion in credit to commodities traders. Tether aims to target traditional commodity trades like agricultural products and oil, with plans for significant expansion in the sector.

Tether’s move into commodities is part of its Trade Finance unit, which focuses on short-term credit to facilitate global supply chain movement. With nearly $184 billion worth of USDt in circulation, Tether is now among the most profitable companies per employee, attracting businesses despite reluctance to borrow in stablecoins.

Tether’s growth is fueled by its stablecoin operation, with USDt evolving into a mainstream financial tool for remittances, cross-border payments, and onchain settlement. The total stablecoin market exceeds $300 billion, with USDT dominating at 60%. Major financial institutions like JPMorgan, Citigroup, and Visa are also exploring stablecoin technology for various applications.

Read more at Cointelegraph: Tether Expands Commodity Lending With $1.5B in Trade Credit