{"id":58493,"date":"2023-09-05T05:38:47","date_gmt":"2023-09-05T09:38:47","guid":{"rendered":"https:\/\/coinscreed.com\/staging\/?p=58493"},"modified":"2023-09-05T05:38:50","modified_gmt":"2023-09-05T09:38:50","slug":"tether-outbids-many-countries-on-us-debt-amid-crypto-crash","status":"publish","type":"post","link":"https:\/\/coinscreed.com\/staging\/tether-outbids-many-countries-on-us-debt-amid-crypto-crash\/","title":{"rendered":"Tether Outbids Many Countries on US Debt Amid Crypto Crash"},"content":{"rendered":"\n

Tether, the issuer of the largest stablecoin USDT,<\/a> has revealed its massive exposure to US Treasury bills, surpassing many countries. This comes amid a market crash that saw USDT lose its peg briefly.<\/p>\n\n\n\n

\"Tether<\/figure>\n\n\n\n

Tether, the company behind the most popular stablecoin USDT, has announced that it holds $72.5 billion<\/strong> worth of US Treasury bills, making it one of the top buyers globally. <\/p>\n\n\n\n

According to a tweet by Paolo Ardoino,\r\n \r\n \r\n \r\n <\/g>\r\n \r\n \r\n \r\n <\/clipPath>\r\n <\/defs><\/svg><\/span><\/a> CTO of Tether, this puts Tether in the global top 22, above nations like the United Arab Emirates, Mexico, Australia, and Spain.<\/p>\n\n\n\n

Ardoino claimed that this development shows the growing importance of USDT in emerging markets, providing a lifeline for communities facing high inflation in their local currencies. <\/p>\n\n\n\n

He also contrasted Tether\u2019s increasing demand for US debt with China\u2019s decreasing appetite, as the latter reportedly shifts its focus to gold.<\/a><\/p>\n\n\n\n

The news comes at a time when Tether faced a market turmoil that affected its stability.<\/p>\n\n\n\n

On Aug. 17, USDT deviated from its $1 peg,<\/strong> dropping as low as $0.99<\/strong> amid a market downturn that wiped nearly $100 billion<\/strong> from the crypto market. <\/p>\n\n\n\n

\"\"
Candlestick chart of USDT price on Aug. 17, 2023<\/em> | Source<\/use><\/svg><\/span><\/a><\/figcaption><\/figure>\n\n\n\n

Despite this brief instability, Tether remains the dominant stablecoin by market cap, controlling over 60%<\/strong> of the market. <\/p>\n\n\n\n

USDT also recovered quickly, with its trading volume exceeding $50 billion <\/strong>in the past 24 hours,<\/strong> six times higher than its closest competitor, USD Coin (USDC).<\/p>\n\n\n\n

However, some crypto traders preferred other stablecoins besides USDT during the market chaos, especially DAI and USDC. <\/p>\n\n\n\n

\n

China's ownership of US Treasury debt is down almost $481B from peak levels. The rate of selling is accelerating.

For many years the experts always doubted that China would dump our debt because of the impact on their own economy and currency.

You can see how the line is\u2026 pic.twitter.com\/7AHZCHrEpl<\/use><\/svg><\/span><\/a><\/p>— Wall Street Mav (@WallStreetMav) September 4, 2023<\/use><\/svg><\/span><\/a><\/blockquote>

Data from 3Pool\u2019s dashboard<\/use><\/svg><\/span><\/a>\u2014Curve\u2019s largest liquidity pool\u2014showed that USDT accounted for nearly 50%<\/strong> of the reserve, while USDC<\/a> and DAI <\/a>made up the balance. <\/p>\n\n\n\n

This indicates a possible trend among traders who sought refuge from the market volatility by selling USDT for DAI and USDC.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

Tether, the issuer of the largest stablecoin USDT, has revealed its massive exposure to US Treasury bills, surpassing many countries. This comes amid a market crash that saw USDT lose its peg briefly. Tether, the company behind the most popular stablecoin USDT, has announced that it holds $72.5 billion worth of US Treasury bills, making […]<\/p>\n","protected":false},"author":44,"featured_media":58496,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[10616,15622,12338],"class_list":["post-58493","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-crypto-crash-2","tag-tether-usdt-2","tag-u-s-2"],"jetpack_featured_media_url":"https:\/\/coinscreed.com\/staging\/wp-content\/uploads\/2023\/09\/Tether.png","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/58493","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/users\/44"}],"replies":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/comments?post=58493"}],"version-history":[{"count":0,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/58493\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media\/58496"}],"wp:attachment":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media?parent=58493"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/categories?post=58493"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/tags?post=58493"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}