Tether’s USDT is the world’s largest stablecoin, with a market cap nearing $100 billion. Nonetheless, like many top blockchain projects, Tether has been the topic of many questions and inquiries. And for Tether, many of the questions swirl around its reserves, which function its primary selling point.
Acknowledging these concerns, Tether’s CEO Paolo Ardoino finally broke the ice and disclosed that the corporate boasts greater than 82,000 Bitcoins and 48 tons of gold to back its USDT in circulation. Ardoino shared this information on a Twitter/X post dated October twenty seventh, 2024, in response to many questions on the corporate’s USDT reserves.
JUST IN : Tether CEO confirms their reserves hold a complete of 82,454 BTC and 48.3 tons of gold. 💰📈 #Tether #Bitcoin @LuganoPlanB pic.twitter.com/QRCi1hqMO2
— Tran Hung (@spaftu) October 26, 2024
Ardoino Speaks At Lugano Plan B Event
Tether’s CEO clarified USDT’s reserves in a follow-up to his earlier statements on the Lugano Plan B Event. The event was a collaboration between Lugano in Switzerland and Tether to spice up the use and adoption of Bitcoin technology to fast-track the town’s financial transformation.
As one in all the event’s keynote speakers, Ardoino discussed Tether’s products and explained that his company boasts over $100 billion in US Treasuries backing its stablecoin. He also explained that USDT is fully supported, and to make clear the confusion; he further said that Tether also boasts 82,000 BTC with an extra 48 tons of precious metal.
CEO Clarifies USDT Reserves
Ardoino’s full accounting of Tether’s reserve generated a variety of attention and comments from the crypto community. Most comments highlight Tether’s commitment to maintaining a solid and diverse reserve for its USDT. Others say that having gold as a part of the reserve is smart, saying that this makes Tether’s stablecoin “higher than the US dollar.”
Hi, those 48 tons of gold, that’s great because it gives stability to USDT.
May I ask, 48 tons of gold wherein form?Is it allocated bullion? If yes, where is it vaulted? Is it audited?
Or is it gold derivatives? like e.g. ETFs shares? Unallocated account? Futures/swaps/options?…— Kinesis Gold (@KinesisGold) October 27, 2024
Nonetheless, a couple of commenters are asking for more information. A few of these comments highlight the necessity for corporate transparency, particularly on the way it handles its gold or how these reserves are audited. One Twitter/X user even questioned Tether if the gold listed under its reserves is gold bullion or just derivatives.
Image: Binance Academy
Tether Recovers, Gets Positive Market Response
Ardoino’s recent clarifications on Tether’s reserves are connected to the growing questions surrounding the corporate. Recently, there have been reports that Tether is the topic of a US Department of Justice investigation. Tether immediately shot down these reports, calling them pure speculation.
To handle questions and allay investor fears, Tether has partnered with law enforcement globally to stop crypto-related crimes. The corporate has also boosted the transparency of its reserves and continues to tease the market with latest services.
Recently, Tether introduced a neighborhood AI development kit for writing and using AI systems for various devices. Ardoino shared that the most recent product features promote privacy and are anchored on peer-to-peer technology, allowing users to jot down codes across devices that run on powerful microchips.
Featured image from Pexels, chart from TradingView