Tether reiterated that it holds no Chinese commercial paper and said that the spreading of false information is the biggest threat to the crypto industry today so let’s read more today in our Tether latest news.
Tether reiterated that it holds no exposure to Chinese commercial paper and the CTO Paolo Ardoino said that news and media often like to recycle FUD around his crypto platform. Tether said that spreading false information about the reserve holdings has a bigger threat to the crypto industry now more than ever. Tether described the rumors of the alleged exposure to the Chinese commercial paper as false information and the USDT issuer said that spreading this kind of nformation is the biggest threat to the crypto industry that exists as it once again denied that it holds any Chinese commercial paper. Tether wrote:
“Tether’s portfolio holds no Chinese commercial paper and as of today, its total commercial paper exposure has been reduced yet again to a mere ~3.7B (from 30B in July 2021) with plans to further decrease to ~200M by the end of August 2022 and to zero by end of October/early November 2022.”
Following the announcement, the CTO of Tether and the Bitfinex crypto exchange, the CTO of Tether pointed blame for the rumors at news media who said that their only goal is to spread FUD around tether. The rumors about the state of TEtehr’s reserve backing circled in the crypto community for years with the company constantly dismissing the issues as misinformation or FUD.
The constant controversies around the company seem to stem from the fact that TEther never really underwent an audit by a reputable third-party auditing company and the stablecoin issuer asked the industry to trust its word regarding the question about the reserves. Tether started cutting its commercial paper exposure in May and reduced the risk profile of USDT reserves with more plans to reduce its paper holdings down to Zero and to increase the exposure to US treasuries which are often seen as a much safer option than commercial paper.
As recently reported, Tether still has the bigger market share of the stablecoins but it is now around 43% and Glassnode reports that the USDT market share is higher at 45% but shows the same downward trend of dominance. According to the Tether transparency report, there are 66 million USDT in circulation which is a figure that has been declining this year and it is down 20% from the peak of 93 billion back in May.
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