According to the Bloomberg report, Tether (USDT), a cryptocurrency backed by fiat currency, surpassed $50 billion in circulation, a sum that’s more than the insured deposits at all but 44 of the thousands of U.S. banks. It’s a remarkable milestone for a token that enjoys wide use as a method of payment in the crypto ecosystem, even as the eponymous private company behind it has endured regulatory scrutiny for its opacity on where it holds the enormous sum of reserves that back the token.
Tether to release quarterly statement on its reserves to the New York Attorney General.
Tether will release its first quarterly statement on its reserves to the New York Attorney General this month. The disclosure is part of a settlement of a long-running dispute with state regulators over whether it actually has the reserves, but it is unclear whether investors will get a glimpse at it. Not that Tether investors seem to care either way. The token’s popularity has only grown amid the legal hubbub, as it became the most traded cryptocurrency in the world, exceeding even the volume of market leader Bitcoin.
Around 66% of Bitcoin is bought using Tether.
About 66% of Bitcoin is bought using Tether, according to data tracker CryptoCompare. And Tether’s use is likely to expand after the largest U.S. crypto exchange, Coinbase, announced its plans to allow trading of the stablecoin on its Coinbase Pro platform. The quarterly report will be released to New York this month, according to Stuart Hoegner, general counsel for the crypto exchange Bitfinex and Tether. The companies, which are based primarily in the British Virgin Islands, settled without admitting or denying any wrongdoing.