Central Bank and Stablecoins: The Exchange Rate Defense Battle Behind $500 Million USDT

ZkSnarker · 2026-01-21T16:02:16+00:00

The survey shows that last year, a country's central bank obtained over $500 million worth of USDT through crypto channels to support the fiat currency price. This reflects the gradual acceptance of crypto tools by traditional central banks, with stablecoins becoming a tool for financial hedging risks and experiencing increasing demand.

ZkSnarker

2026-01-21 16:02:16

Abstract generation in progress

【BlockBeats】Research by a blockchain investigation agency has revealed an interesting phenomenon—last year, a certain country’s central bank acquired over $500 million worth of USDT stablecoins through crypto channels. More notably, these USDT have been fully transferred out of the related wallets.

Why would the central bank do this? The research suggests a straightforward answer: using stablecoins to support the domestic fiat currency’s price.

According to the investigation, this transaction was carried out by an entity called Modex. From the channel setup, Modex appears more like a broker specializing in government-level crypto transactions—willing to engage with official departments and familiar with administrative procurement rules.

What does this reflect? Traditional central banks are quietly embracing crypto tools. Stablecoins are no longer just settlement tools between trading counterparts but have become financial weapons that participants use directly to stabilize exchange rates and hedge risks. When the pressure on fiat currency devaluation is high, holding dollar-pegged stablecoins to maintain purchasing power—this logic is essentially the same as central banks hoarding foreign exchange reserves, only transforming the foreign exchange reserves into on-chain assets.

The market implication is: the demand for mainstream stablecoins like USDT is expanding, not just among retail and institutional investors, but also at the official level. This indicates that the liquidity and usage depth of stablecoins are far more complex than surface data suggests.

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pumpamentalist

· 3h ago

The central bank also started playing with stablecoins. This is getting interesting.

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PumpDetector

· 3h ago

so they're finally admitting it... central banks playing in our sandbox now, classic institutional flow pattern i've seen a thousand times. watch the whale movements, that's where the real tells are at.

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WalletDivorcer

· 3h ago

Central bank secretly buying USDT? This is getting interesting. Are fiat currencies really that bad?

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ForkThisDAO

· 3h ago

The central bank is also starting to play with stablecoins, this is getting serious.

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LiquidationWatcher

· 4h ago

$500 million USDT vanishes into thin air, is this move by the central bank too ruthless... Has the stablecoin become a new weapon in the exchange rate defense battle?

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DeFi_Dad_Jokes

· 4h ago

The central bank is playing with stablecoins? Now it's good, even the officials are starting to hoard US dollars haha

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