Tether (USDT) is one of the largest and most widely-used stablecoins in the cryptocurrency market. Unlike Bitcoin or Ethereum, the price of USDT is closely pegged to the value of $1 USD — every USDT token in existence is backed by a combination of physical assets, bank reserves and loans which match or exceed the supply of USDT. This is done to assist in USDT being used as a hedge against the volatility present throughout the cryptocurrency market.
Over the past several months USDT has worked to reduce its paper commercial holdings in order to enhance its ecosystem’s quality. By July, the holdings owned by Tether had been cut by around 60% of previous amounts. The move reduced the USDT total commercial paper holdings from around $20 billion in May to just around $3.7 billion by the end of July. Ifinex, the Hong-Kong based company which owns Tether and crypto exchange Bitfinex, continue striving to enhance the quality of Tether’s backings.
The Tether USDT token was one of the first stablecoins to gain widespread adoption across most cryptocurrency exchanges. First launched in 2014 as RealCoin and subsequently rebranded as Tether USDT, Tether is owned by Hong Kong-based iFinex, who also owns major international cryptocurrency exchange BitFinex.
As of May 2022, Tether is one of the largest and most widely-used cryptocurrencies online and typically accounts for over one-third of value traded out of the Bitcoin blockchain. USDT news, however, can have a significant impact on the adoption, use, and regulation of USDT and other stablecoins.
Daily USDT Price Updates
While Tether is a stablecoin linked to the US Dollar with a highly stable price point, there are many USDT news factors that can impact the use, adoption, and regulation of Tether. The USDT coin relies on centralized collateral in order to maintain value, which often emerges as a point of contention and discussion within cryptocurrency communities.
CryptoNewsLine is committed to providing readers with verifiable and transparent USDT news with insight into USDT collateralization, Tether regulation, and Tether volume news across a wide range of cryptocurrency exchanges and DeFi ecosystems.
Significant news events such as the 2017 theft of over $31 million in USDT tokens and subsequent Tether hard fork, examinations of lending between USDT reserves and the BitFinex exchange platform, and US Commodity Futures Trading Commission (CFTC) examinations of Tether reserves can be hard to keep track of — follow USDT news via CryptoNewsLine to access Tether insight and USDT news as it happens.