According to the latest data from Coingecko, the market value of the US dollar stablecoin USDT has exceeded 99 billion US dollars. At the time of writing this article, it was 99,001,536,662 US dollars, setting a new historical high.
Tether CEO Paolo Ardoino stated that the Northern Data AI cluster is successfully going online. A100, A6000, H800, and H100 are in the preheating stage.
Morgan Stanley analysts previously stated in a report that Tether's dominant position is too strong and faces risks from the constantly changing regulatory environment in Europe and the United States. Tether CEO Paolo Ardoino refuted Morgan Stanley's claims, calling the financial services giant "hypocritical."
Bloomberg reports, stablecoin operator Tether Holdings Ltd. is expanding its dominant market share after achieving record profits. JPMorgan Chase & Co. says this is a risk for the overall cryptocurrency market. A report released by JPMorgan on Thursday shows that the centralization of USDT has increased over the past two years, consolidating its position as the leading stablecoin, but Tether's "lack of regulatory compliance and transparency" is bringing increasing risks to the market. JPMorgan analysts wrote, "Stablecoin issuers that are more compliant with existing regulations may benefit from the upcoming stablecoin regulatory crackdown and gain market share." Since paying a $41 million fine to the CFTC in 2021 for falsely reporting reserves, Tether has been committed to making its operations and finances more transparent through quarterly attestations. Nevertheless, the report states that Tether's stablecoin still lags behind competitor Circle in terms of regulatory compliance with USDC tokens. Stablecoins may soon face stricter regulation in the United States and Europe. While the Payment Stablecoin Act is awaiting a vote in the US House of Representatives, the European Union's Markets in Crypto Assets (MiCA) is expected to be partially implemented in June of this year. Paolo Ardoino, CEO of Tether, said in a statement, "Tether's dominant market position may be 'negative' for competitors, including the banking industry, who hope to achieve similar success, but it has never been negative for the market that needs us the most. We have always worked closely with global regulatory agencies, providing them with education on technology and guidance on how they should approach this issue."
Whale Alert monitoring shows that at around 7:47 Beijing time, 70,000,000 USDT (worth $69,998,740) was transferred from Tether Treasury to Bitfinex.
Stablecoin issuer Tether announced the launch of its global Web3 digital education program "Tether Edu", dedicated to promoting accessibility to digital skills. Tether Edu will be responsible for coordinating various global education projects supported by the company, partnering with industry pioneers and experts to provide blended courses, customized seminars, and master classes. These courses cover not only blockchain education but also various digital education fields such as design, artificial intelligence, and coding, with a special focus on emerging markets such as Africa, Latin America, the Middle East, Europe, and Asia.
Tether's Q4 Attestation Shows Reduction in Secured Loans and Increase in Excess Reserves, but Critics Remain Skeptical of Stablecoin's Backing
Tether, the largest stablecoin with a market cap of $96 billion, has released its Q4 attestation report. The report shows a decrease in secured loans to $4.8 billion and an increase in excess reserves to $5.4 billion. However, the report reveals that a significant portion of Tether's reserves are still volatile assets, including $2.8 billion of Bitcoin and $5.6 billion classified as "other investments." Critics dispute Tether's claim that its stablecoin is backed one-to-one mostly by U.S. dollar equivalents like Treasury bills, and questions remain about the company's secured loan program.
Tether has released its Q4 proof of reserves report. From a financial performance perspective, Q4 net profit reached a historical high of $2.85 billion, of which approximately $1 billion (mainly from US Treasury interest) came from operating net profit, and the rest mainly came from the appreciation of gold and Bitcoin reserves. Excess reserves reached a historical high, increasing by $2.2 billion to a total of $5.4 billion, with the remaining $640 million invested in various strategic projects (such as mining, AI infrastructure, P2P telecommunications, etc.). The group's net profit for 2023 is expected to be $6.2 billion, of which approximately $4 billion will come from net operating profit generated by US Treasury bonds, reverse repurchase agreements, and money market funds, with the rest coming from the performance of other asset categories.
Tether CEO: Tether does not choose to use a certain blockchain, but supports many different blockchains
Tether CEO Paolo Ardoino stated on X platform that Tether does not choose which blockchain to use. Tether supports different blockchains because they are the transfer layer for USDt and other tokens.Users decide which one is most suitable for them based on factors such as support, speed, and cost. Nevertheless, Tether maintains the same functions for issuance, redemption, destruction, and freeze/unfreeze (to meet compliance requirements) on the supported blockchains.
Since October 20, 2023, Tether Treasury has minted a total of 13 billion USDT on the Ethereum and Tron networks
According to Lookonchain monitoring, TetherTreasury has minted 13 billion USDT on the Ethereum and Tron networks since October 20, 2023.