The exchange platform Poloniex, once a prominent player in the cryptocurrency market, now appears to be struggling, with a significant portion of its spot trading pairs showing minimal to no trading volume. Acquired by Justin Sun in 2019, the platform's recent data reveals a concerning trend, with over 500 trading pairs displaying little to zero activity.

Based on data from the past 24 hours, a staggering 53% of all spot trading pairs on Poloniex recorded less than $1 or even $0 in daily trading volume as of May 13. This indicates a significant lack of engagement among users across a wide range of trading pairs.

A closer look at the data underscores a heavy reliance on the stablecoin USDT (Tether), with approximately 83% of all spot trading pairs on Poloniex tied to USDT. In contrast, there are only a handful of trading pairs with major cryptocurrencies like Ethereum (ETH) and Bitcoin (BTC), representing a mere fraction of the platform's overall activity.

This reliance on USDT raises concerns, especially in light of recent statements by Ripple CEO Brad Garlinghouse regarding potential regulatory scrutiny on Tether. While Tether's Paolo Ardoino has dismissed these concerns as FUD (Fear, Uncertainty, Doubt), Poloniex could still face challenges if regulatory issues surrounding USDT escalate.

With no USDT/USD trading pair available on the platform, a surge in USDT withdrawals due to regulatory pressure could potentially disrupt Poloniex's operations. As of now, Poloniex has not responded to requests for comment on these developments. However, given the seriousness of the situation, investors and users are closely monitoring the platform's response to these challenges.