Tether Condemns False Rumours About Its Commercial Paper Holdings

Tether
by Tether | Jun 15 2022

Tether is aware of rumours being spread that its commercial paper portfolio is 85% backed by Chinese or Asian commercial papers and being traded at a 30% discount. These rumours are completely false and likely spread to induce further panic in order to generate additional profits from an already stressed market. Tether condemns such attempts which oftentimes see simple users take the biggest hit, while few coordinated funds increase their profits.

In its latest assurance opinion  here, Tether announced that over 47% of total USD₮ reserves are now US Treasuries and that commercial paper makes up less than 25% of USD₮’s backing.

Tether can report that its current portfolio of commercial paper has since been further reduced to 11 billion (from 20 billion at the end of Q1 2022), and will be 8.4 billion by end June 2022. This will gradually decrease to zero without any incurrences of losses. All commercial papers are expiring and will be rolled into US Treasuries with a short maturity.

Regarding the recent events impacting the Celsius lending platform, Celsius position has been liquidated with no losses to Tether. Tether’s lending activity with Celsius (as with any other borrower) has always been overcollateralized. Tether has currently zero exposure to Celsius apart from a small investment made out of Tether equity in the company.

Tether is aware of other rumours being spread, suggesting that it has lending exposure to Three Arrows Capital - again this is categorically false.

For the true facts, refer to our most recent attestation and to  https://tether.to/en/transparency for the most up-to-date information.


Prev
Celsius Feels Impact of Market Volatility, Tether Reserves Hold Strong
Next
USD₮ – The Blueprint for Private Stablecoins

Subscribe to the blog

Tether token

Tether supports and empowers growing ventures and innovation as a digital token built on multiple blockchains.

Copyright © 2013-2022 Tether Operations Limited. All rights reserved.