Tether responds to report by Wall Street Journal
Tether, the issuer of the world's largest stablecoin (USDT), has responded to a report by the Wall Street Journal.
Tether, one of the largest issuers of stablecoins, has denied claims made by the Wall Street Journal (WSJ) in a recent article. The WSJ story questioned Tether's transparency and profitability, but Tether says the publication has discredited its efforts to be open and transparent. Tether remains one of the most popular stablecoins in the cryptocurrency market, and its issuer continues to stand by its commitment to provide a reliable and stable digital currency.
The USDT issuer is no stranger to controversy, especially regarding questions surrounding its reserves. So far, the company has reduced its exposure to commercial paper holdings by 58%. However, many questions still remain about the company's reserves, and it is clear that the controversy is far from over.
Tether Planning to Release an Audit Soon
Tether has responded to a recent Wall Street Journal article that contained what the company feels are unsubstantiated conclusions. In a statement released on Tuesday (August 30, 2022), Tether said that the WSJ made several “unsubstantiated conclusions” that the stablecoin issuer needed to clarify. Tether went on to say that it takes its role in the cryptocurrency ecosystem seriously and that it is committed to providing a transparent and compliant platform for its users. The company also said that it is constantly working to improve its processes and procedures and that it will continue to do so in order to provide the best possible service
It is disappointing that Tether has still not released an audit, as this has been expected since 2017. The stablecoin issuer continues to publish an attestation which reveals a snapshot of its reserves and liabilities, signed off by its accounting firm. However, without a full audit, it is difficult to have full confidence in the company. Hopefully Tether will soon release the audit so that the crypto community can have a better understanding of its financial situation.
While Tether said that the company was working towards providing an audit, it insisted that its dealings have been transparent. Tether is a company that provides a digital currency, called tethers, that is pegged to the US dollar. The company has come under fire recently for allegedly not having the proper reserves to back up the tethers that
As the stablecoin issuer continues to make changes to its operations, it has now hired a new Italian accounting firm to replace its previous provider. BDO Italia will be taking over the stablecoin issuer's accounting needs going forward, and it is hoped that this will help the company to continue to run smoothly and efficiently. With this change, the stablecoin
This is good news for cryptocurrency investors, as it provides more transparency around the stability of the Tether coin. Tether's move to monthly attestation reports shows that the company is committed to maintaining a high level of transparency and accountability. This is positive news for the cryptocurrency industry as a whole, as it helps to build trust and confidence in the emerging asset class.
This is great news for the crypto community! Finally, a stablecoin issuer is clarifying that BDO is a reputable and independent audit firm, and not just a "Tether accounting firm" as claimed in the WSJ report. This is a huge step forward for the industry, and will help to further legitimize cryptocurrencies as a whole.
Tether's response to the WSJ article claiming that its three months' worth of Treasury Bills is a safe bet is both disingenuous and misleading. The fact is that Treasury Bills are not a safe asset for investors, as they are subject to interest rate risk and inflation risk. In addition, Tether has not been a premier safe asset for decades, as it only began operation in
Is the world's largest stablecoin about to go insolvent?
This is good news for Tether, as it shows that the company's reported assets exceed its liabilities. This is a positive sign for the company's financial health and stability.
There is no question that Tether is in a precarious situation. A 0.3% drop in assets could easily render the company insolvent, which would be a disaster for the cryptocurrency market. Investor confidence would plummet and redemptions would likely increase. This is a situation that must be closely monitored in the coming days and weeks.
Tether is responding to claims that its stablecoin is not as stable as other similar coins in the market. Tether says that such margins are found in other stablecoins as well, and that the publication is singling out Tether to damage its reputation.
Tether, the company behind the USDT stablecoin, has said that it redeemed $16 billion of the token in recent months with ease. Meanwhile, Paolo Ardoino, Tether's CTO, said that the company is expecting significant growth in its capital cushions over the next few months. This is good news for those who hold USDT, as it shows that the company is able to meet its obligations in redeeming the token. It is also positive news for the cryptocurrency market as
Tether Claims to be Profitable Tether, the popular digital currency that is pegged to the US dollar, has claimed to be profitable. In a recent statement, the company said: "Tether is
“To assume that our business is unprofitable is false. According to our Consolidated Reserves Report, Tether has never disclosed any equity despite being profitable for several years. This same report has been deemed appropriate by important stakeholders and it has been accepted by the NYAG. Perhaps the WSJ has confused Tether with some of its competitors.”
We are currently investigating the claims made in the WSJ article regarding a possible attack on the Tether network. We will provide updates as soon as possible.
