• Tether minted $1 billion USDT ahead of the FOMC meeting, sparking speculation about potential liquidity shifts or Bitcoin price movement.
• The minting is seen as strategic preparation, with Tether holding the tokens in reserve until demand increases from exchanges or institutional players.
• Historically, large USDT mints have coincided with Bitcoin price rallies, fueling expectations of a "risk-on" buying phase following the FOMC rate decision.

Tether has minted a fresh $1 billion USDT on Ethereum, just hours ahead of the Federal Reserve’s latest FOMC rate decision.

The timing has sparked renewed market chatter, especially as similar USDT mints have historically foreshadowed Bitcoin (BTC) price rallies or marked key liquidity shifts.

Tether Mints $1 Billion USDT

Smart money on-chain analytics tool Lookonchain flagged the transaction on Wednesday, June 18, 2025, highlighting the stablecoin issuer’s move to mint $1 billion USDT.

Lookonchain also highlighted that the last two times Tether minted USDT, the Bitcoin price pumped.

Tether just minted another 1B $USDT.

The last two times #Tether minted $USDT, $BTC pumped.

Will $BTC pump again this time?https://t.co/Hpn4LisKe2 pic.twitter.com/XBl8Nt8Nhf

— Lookonchain (@lookonchain) June 18, 2025

Notably, Tether does not publicly disclose a comprehensive issuance schedule. Meanwhile, it is worth noting that not all stablecoin issuance translates into immediate circulation.

Notwithstanding, such large-scale minting often indicates strategic liquidity preparations.

Whale Alert flagged Tether transferring the minted USDT to different addresses, including Bitfinex exchange. The Whale Alert is a popular account that reports large and interesting blockchain transactions as they happen.

In response, Tether’s CEO, Paolo Ardoino, emphasized that the latest batch was “authorized but not issued.”

This means the tokens are pre-minted and held in reserve until demand materializes.

“…this amount will be used as inventory for next period issuance requests and chain swaps,” Ardoino articulated.

This allows faster response to market needs, particularly from exchanges or institutional players.

Meanwhile, Tether’s latest mint is not an isolated event. Over the past year, USDT issuance has surged repeatedly in response to shifting market conditions.

In December, Tether minted $1 billion USDT, similar to today’s event. This followed another Tether USDT mint, worth $19 billion in total, as per on-chain data, fueling a broader crypto market rebound amid renewed institutional interest.

What Next As Market Awaits Fed Signal?

That wave of issuance coincided with increased exchange volumes, improved liquidity, and a sharp uptick in Bitcoin and Ethereum trading activity.

These precedents are prompting some traders to speculate that Tether’s latest move could be a prelude to another round of risk-on buying.

“Plenty of dry powder coming into the market,” wrote Lark Davis, a Bitcoin investor and founder of Wealth Mastery.

Speculation intensifies asmarkets brace for the FOMC interest rate decisionlater today. If the Fed signals a pause or dovish tilt in today’s rate announcement,Bitcoin’s price could rally.

Any indication of future rate cuts or ongoing liquidity support could trigger another leg up for Bitcoin and crypto markets, especially with fresh stablecoin liquidity on standby.

🚨 1,000,000,000 $USDT just minted on Ethereum, something big is brewing! 🚨

Every time Tether prints, markets pay attention… and this $1B mint is no exception!

Is this fueling the next leg up for $ETH and the broader crypto rally? 🤑📈

Stay sharp, stay ready, the whales are… pic.twitter.com/Mv6hGH96jm

— ethereum.network (@EthereumNetw) June 18, 2025