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Nah, most of USDT is on TRC20 because gas fees are way cheaper there and most of the exchanges support withdrawing USDT using TRC20.

So all arbitrageurs, market makers, etc, transfer USDT between different entities through TRC20 network. USDT on TRC20 started to increase only after Ethereum gas fees got ridiculously high and it became too expensive to use even for pretty high volume market makers.

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Absolutely not. Large Tron issuances started well before Ethereum gas fees soared. We are talking a couple of years ago.

Also, market makers moving Tether around do not give two shits about $60 in gas fees or whatever. Additionally, a huge amount of Tether has gone into DeFi on Ethereum and L2s (or bridged to newer L1s, which typically don't have a Tron bridge).

https://www.theblockcrypto.com/data/decentralized-finance/st...

Ethereum was dominating TRON until very recently and this does have to do with huge increases in Gas prices on Ethereum

Sure, but go back two years, Tron had 50% of the Eth issuance which is insane given that even two years ago, Eth was domination Tron in every respect.

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