Galaxy Digital: Tether Becomes Dominant Force in Crypto Lending Market, Captures Approximately 73% Market Share

According to Jinse, Galaxy Digital's cryptocurrency lending market report highlights that as some centralized lending institutions face bankruptcy, stablecoin issuer Tether is filling the gap and becoming the dominant player. Tether currently holds a 73% share in the crypto lending market. Data shows Tether’s reserves include collateralized loan balances of up to $8.2 billion. The top three centralized lending platforms are Tether, Galaxy, and Ledn, together accounting for 88.6% of the centralized finance (CeFi) market. Galaxy also notes the entry of traditional financial participants into the crypto lending market, including Cantor Fitzgerald, led by current U.S. Secretary of Commerce Howard Lutnick, which has announced an initial $2 billion funding to kickstart their cryptocurrency lending operations.