Just as yesterday USDC was delisted from Binance, Tether brings out the article. USDC delisted from Binanceīut the timing of the publication of this article is a bit “suspicious”. In short, this blog post seems like a way to respond to the frequent accusations toward the project, thus specifying Tether’s importance in the crypto and financial ecosystem in general. įor these reasons and all the haters, Tether is very diligent in communicating about its reserves and often publishes new audits that attest that the stablecoin is indeed pegged to the USD. Tether has also always had problems with justice, like its problem with NYAG or the 41 million fine by the CFTC. This blog post certainly responds to the many allegations Tether has received over the years, not the least of which was the false SEC document identifying USDT as a security.Įven in June, when the collapse of the UST stablecoin in the Terra-Luna ecosystem had occurred, Tether had paid the price by getting involved because of the existing pair on some futures exchanges between USDT and USD. Tether is very diligent in communicating about its reserves and often publishes new audits Tether and audits for USDT reserves Many advantages that the US gained from the Petrodollar system and the role of US treasuries as a global reserve asset can be replicated with USD₮ and other stablecoins.” “USD₮ provides the United States with a similar tool that the Petrodollar regime offered for the digital era. This mode allows multiple states to be able to trade with America, and this has stabilized the US dollar for about 30 years. Much as in the 1970s the US government secured the future of the dollar using the Petrodollar system, equally today Tether does so through stablecoins. For example, last May USDT constituted 2% of the total US Treasury, more than the world’s largest holding company, Berkshire Hathaway. In addition, it is important to note that Tether buys dollars very often so that every time new USDT are issued in the market they match as many dollars in their coffers. “not only created a way for people to access dollars as a tool for financial freedom it has created a system that strengthens the US Dollar.” That is why in the Tether blog he states that: Indeed, in some countries it is difficult to move money because of unfavorable exchange rates, high inflation of the local currency or too high foreign exchange fees.Ĭryptocurrencies help with this, and all the more so does a stablecoin, which by its nature is worth 1:1 with a fiat currency, in this case the dollar, and therefore less volatile and safer in that sense than other cryptocurrencies. Reads the opening of the article published yesterday. It is no secret that the US Dollar is the most sought-after fiat currency in the world, yet despite that fact, it is still challenging for individuals to hold or acquire dollars in many countries outside of the United States.” “Stablecoins are one of the most substantial innovations in how currencies, specifically the US Dollar, are used and made available to the world.
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