Even though Tether gained a bad reputation over the last few years because of a belief that the cryptocurrency is manipulating digital-asset prices on the market, it still managed to get out of that pitch and start gaining the trust of partners and users again.

Now the coin is majorly used as a means of payment for many goods and services.

But what is the reason behind this massive adoption of Tether into our daily life? Let’s see.

The main reason is that the coin is avoiding price fluctuations by sticking to a one-to-one ratio with the dollar. And currently, there are already 265 companies (at least) that are accepting Tether for direct payments.

Crypto Advisor

Sean Mackay, Operations Lead at CoinPayments.net, is convinced that:

Merchants used to accept Bitcoin, Ethereum, Ripple and convert it into Tether in order to hedge against the volatility. Now we are seeing the payments just being done directly in Tether.

Moreover, a dramatic increase in Bitcoin price has made investors reluctant to spend it, which, in turn, undercuts the original objective of the electronic token and leads to the rise of stablecoins.

Therefore, it is becoming clear now that Tether is slowly but surely taking control over transactions taking place on adult and online crypto gambling sites, as well as vaping and cannabis shops.

Co-owner of one of Toronto’s Green Earth Robotics Inc., Michael Chrzan, said:

Tether, it’s started catching up. Since their community is growing, we believe it will expand in time. When the community is growing, they start using the coin.

That, as well as other factors, resulted in Tether’s market capitalization to soar to $4.12 billion from $2 billion only a year ago.