Tether, one of the largest companies in the digital asset industry, has posted some important news: Its Investment division has completed its first deal in the crude oil segment in the Middle East.
Tether Trade Finance Completes Funding of First Middle Eastern Crude Oil Transaction
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https://t.co/SENypbSSm6
— Tether (@Tether_to)
November 8, 2024
This deal between the super-major oil company and one of the world’s largest commodity traders will facilitate the transportation of 670,000 barrels of Middle Eastern crude oil worth $46 million. This transaction was also the first step of the stablecoin in the global oil market and indicated its further expansion in traditional sectors such as commodities.
Tether’s Expanding Role in Trade Finance
Since the beginning of this year, Tether’s Trade Finance business has received $10 trillion from different global trade operations. With the goal of achieving the industry’s sustainable development, the company has concentrated on providing effective and available financial products for many organizations.
Peer-to-peer platforms employ the use of reserve currency, especially the USDT, as financial infrastructure to enhance and develop global supply chains. This venture is a part of investments and aligns well with the company’s solid financial performance; Tether has reported an impressive healthy Q3/2024 financial report.
A New Era for Trade Financing in Digital Assets
Paolo Ardoino, Chief Executive Officer, said:
“With USDT, we’re bringing efficiency and speed to markets that have historically relied on slower, more costly payment structures.”
The incorporation of USDT into trade finance reduces costs and shortens the time taken for payment, improving asset-backed financing. Now that Tether is actively involved in trade finance, it is willing to expand into other areas such as agriculture, technology, and asset-backed securities.