Statement from the EC regarding new minting limits (USDT)

On March 24th, the EC decided to bring some changes to the IST econ governance parameters.

The following changes were made:

  • The 0.2% swap fee on USDT was removed
  • The minting limits for USDT.grv and USDT.axl were raised by 500,000 IST each. The new minting limits are 750,000 IST for USDT.grv and 650,000 IST for USDT.axl

To give some context, the EC took a more restrictive approach towards USDT back in December 2022 while Tether was under much scrutiny by lowering the minting limits and setting up 0.2% swap fees to disincentivize its use in the PSM.

Since then, USDT has proved its resilience while USDC briefly depegged following the recent US banking crisis.