Tether: the 16th largest holder of US Treasuries

[Trongduy]

With the recovery and growth of the crypto market, I believe that USDT's capitalization will also increase and Tether's rank will soon increase, maybe they will enter the top #10 largest holder of US Treasuries this year if USDT capitalization reaches $300B^[5].

What do you think about Tether's position in the current economy? Are you still worried about the possibility of Tether collapsing in the future?

Amazing, Tether is in the top 16 holding US bonds, this is so unexpected and I can't imagine it. If the US wants to punish Tether like it did with Binance, it must be cautious for fear of collapsing government bond prices and the overall impact on the national economy.

Tether's maturity in terms of capitalization and legality is a necessary condition for the crypto market to officially enter a new growth season. I will continue to trust Tether and hold USDT to invest in potential projects this year.

[philipma1957]

So looking at various threads on altcoinstalks. USDT seems to be 76% backed by fed t-bills.

coinmarketcap seems to say that USDT is 97-98 billion. so 76% of that is about 74 billion in t-bills

this thread says that puts them in 16th place for t-bill holdings.

Not so sure how much the feds have out on loan in t-bills


but the total debt is far bigger than 76 billions it is 33 trillions.

My point is the world runs on debt and if the USD crashes and burns we are all going to struggle a lot.

[Google+]

So looking at various threads on altcoinstalks. USDT seems to be 76% backed by fed t-bills.

coinmarketcap seems to say that USDT is 97-98 billion. so 76% of that is about 74 billion in t-bills

this thread says that puts them in 16th place for t-bill holdings.

Not so sure how much the feds have out on loan in t-bills


but the total debt is far bigger than 76 billions it is 33 trillions.

My point is the world runs on debt and if the USD crashes and burns we are all going to struggle a lot.

Imagine when USDT reaches 74 billion, it could be a friend of Bitcoin or it could also be the destroyer of Bitcoin. Since USDT was created with an unlimited supply, I started to think that USDT could be a time bomb that could destroy Bitcoin, so you have to be careful with USDT. and I can't imagine when USDT reigns supreme and has the potential to bring down the price of Bitcoin.

[KryptoBull]

Amazing, Tether is in the top 16 holding US bonds, this is so unexpected and I can't imagine it. If the US wants to punish Tether like it did with Binance, it must be cautious for fear of collapsing government bond prices and the overall impact on the national economy.

Tether's maturity in terms of capitalization and legality is a necessary condition for the crypto market to officially enter a new growth season. I will continue to trust Tether and hold USDT to invest in potential projects this year.

Yes, Tether has truly become a giant in the crypto market, managing hundreds of billions of dollars, top 11 BTC holding, has its own BTC mining factory, top 16 holders of US bonds. The bigger Tether is, the bigger and stronger the crypto market will be. Many people are still worried about the future of Tether while refusing to focus on the investment process to create profits for themselves 

I always believe that USDT will not disappear, it will continue to grow stronger in the future as crypto develops! The US also does not have a big enough reason to destroy Tether, the US will find a way to enact laws to manage stable coins and Tether will need to comply.

[philipma1957]

Amazing, Tether is in the top 16 holding US bonds, this is so unexpected and I can't imagine it. If the US wants to punish Tether like it did with Binance, it must be cautious for fear of collapsing government bond prices and the overall impact on the national economy.

Tether's maturity in terms of capitalization and legality is a necessary condition for the crypto market to officially enter a new growth season. I will continue to trust Tether and hold USDT to invest in potential projects this year.

Yes, Tether has truly become a giant in the crypto market, managing hundreds of billions of dollars, top 11 BTC holding, has its own BTC mining factory, top 16 holders of US bonds. The bigger Tether is, the bigger and stronger the crypto market will be. Many people are still worried about the future of Tether while refusing to focus on the investment process to create profits for themselves 

I always believe that USDT will not disappear, it will continue to grow stronger in the future as crypto develops! The US also does not have a big enough reason to destroy Tether, the US will find a way to enact laws to manage stable coins and Tether will need to comply.

yeah I agree the us gov and usdt are a natural set of partners..

I did not realize the assets held by tether were so large.

They may eventually become “too big to fail”

[Peter90]

They may eventually become “too big to fail”

That's an interesting remark Phil
Tether total assets = $103B

"After the late-2000s financial crisis, the Dodd-Frank Act established a new regulatory framework for banks with more than $50 billion in assets. The Federal Reserve supervises these enhanced supervision banks much more closely than smaller banks.
As the economy grew, so did the number of banks above the $50-billion level. By 2018, several dozen made the cut. That’s also the year Congress raised the enhanced supervision threshold to $250 billion in assets."

moneycrashers.com

It's important to note that not only banks but every "corporate entity or market sector" - such as U.S. carmakers - can fulfil the too big to fail definition.
So, all in all considered, I pretty much think that currently Tether is considered by the US authorities as a TBTF entity.

[Peter90]

Amazing, Tether is in the top 16 holding US bonds, this is so unexpected and I can't imagine it. If the US wants to punish Tether like it did with Binance, it must be cautious for fear of collapsing government bond prices and the overall impact on the national economy.

I don't think the US gov is being cautious, I think they are simply following their interest

The SEC sued Coinbase because they are not regulated
Tether are not regulated.

Why the SEC hasn't sued them?
Why the SEC is suing everybody but them?

There is a guy who is currently very useful to you
He is financing you
Buying your debt
You hold him by the balls
Would you tear him down?

I wouldn't!
I'd rather keep ordering him when and how and which part of my debt to buy.
Keep him on the leash

I think this is what the US gov has been doing and is doing with Tether

[arabspaceship123]

If USDT drops because they can't cover funds it's collapse makes SEC look like failures. Tether should've been regulated when SEC went to investigate Binance & FTX the timing would've been accepted by ppl.

[philipma1957]

They may eventually become “too big to fail”

That's an interesting remark Phil
Tether total assets = $103B

"After the late-2000s financial crisis, the Dodd-Frank Act established a new regulatory framework for banks with more than $50 billion in assets. The Federal Reserve supervises these enhanced supervision banks much more closely than smaller banks.
As the economy grew, so did the number of banks above the $50-billion level. By 2018, several dozen made the cut. That’s also the year Congress raised the enhanced supervision threshold to $250 billion in assets."

moneycrashers.com

It's important to note that not only banks but every "corporate entity or market sector" - such as U.S. carmakers - can fulfil the too big to fail definition.
So, all in all considered, I pretty much think that currently Tether is considered by the US authorities as a TBTF entity.

Yeah they certainly appear to be in the category or close enough to it. today was quite the ride on the cryptocurrency market cap.  We are now over 2.28trillion  we were actually over 2.35 trillion until to brang in the cooler. (coinbase went down) Not the first time and won't be the last time they do that.

Tether is rocking and rollin at 98 billion number 3 on the list. Eth has moved to 3.4k

[Stompix]

If USDT drops because they can't cover funds it's collapse makes SEC look like failures. Tether should've been regulated when SEC went to investigate Binance & FTX the timing would've been accepted by ppl.

What has the SEC to do with a company ran outside of the US and that has no product being traded on the US stock markets?
Also, SEC didn't investigate FTX for the missing coins or the ftx coin, they did it for the people that invested in FTX the company so not owners of coins on the exchange but people owning shares in the exchange itself!
It's not the SEC it's the CFTC that can investigate tether or bitfinex but they only can subpoena them and fine them, they've already did this 3 times for deceiving US customers, it's not like they have the power to audit and close a company outside their jurisdiction.

[Peter90]

Tether should've been regulated when SEC went to investigate Binance & FTX the timing would've been accepted by ppl.

SEC has been treating Tether with white cotton gloves.
No audits required
Are you kidding me

Even their - regulated - competition is complaining before Congress about Tether's competitive advantage.




* unrelated: arabspaceship, one of the best nicks I've ever seen 

[NikeFit_7777]

Saw such an interesting chart yesterday that shows: "Is there a correlation between printing USDT on the TRON blockchain and the average price of BTC."

Also, yesterday saw a small pullback in the exchange rate, up to 0.9896. I see, literally in a minute the rate was back up to 1 dollar. It is clear that this kind of thing (often happens) - but when I see this kind of thing, it feels a bit strange. It brings to mind the UST. 

P.S. My position on this is simple + I always repeat the same thing. Even in paper/even in stablecoins - diversify. Don't keep all your savings in one basket. In the event of an emergency, you will lose absolutely everything you have earned. It is one thing to accumulate, it is quite another to save until the right moment. Think about it. 

[MrSpasybo]

P.S. My position on this is simple + I always repeat the same thing. Even in paper/even in stablecoins - diversify. Don't keep all your savings in one basket. In the event of an emergency, you will lose absolutely everything you have earned. It is one thing to accumulate, it is quite another to save until the right moment. Think about it. 

Yeah, I always try to divide my stable coins between USDT, USDC and BUSD. After the discontinuation of BUSD and the de-peg of USDC in early 2023, I left the majority of stable coins in USDT and temporarily continued to trust Tether. No asset is absolutely safe, so instead of worrying, I follow the growth of Tether and choose to think more optimistically to continue to survive in this market 

[NikeFit_7777]

Yeah, I always try to divide my stable coins between USDT, USDC and BUSD. After the discontinuation of BUSD and the de-peg of USDC in early 2023, I left the majority of stable coins in USDT and temporarily continued to trust Tether. No asset is absolutely safe, so instead of worrying, I follow the growth of Tether and choose to think more optimistically to continue to survive in this market 

Finally, at least someone is diversifying not only assets, but also stablecoins. Yes, the BUSD situation — showed what can happen to a "reliable" stablecoin. Therefore, be extremely careful, if you have chosen (something suitable) do not keep everything in one basket.

P.S. Alas, no one knows the inner workings of each campaign. Today Tether exists, a few years later they go bankrupt. Again, this is not a call to action. Everyone's situation is different, just giving my honest opinion on the matter. Think about what your financial situation would be in the event of a scam USDT. 

[Peter90]

Saw such an interesting chart yesterday that shows: "Is there a correlation between printing USDT on the TRON blockchain and the average price of BTC."

I saw mentioned the theory that minting USDT impacts the BTC price.
If true, how would it work?