HomePress CoverageTether reports profit surge: Crypto giant's CTO on the implications of failing...

Tether reports profit surge: Crypto giant’s CTO on the implications of failing…

stablecoin issuer tether USDT/USD forecasts Q1 earnings of $700 million, taking total excess reserves to over $1 billion, according to the company’s CTO Paulo Ardonino.

Tether is responsible for issuing the USDT stablecoin, which has a one-to-one relationship with the US dollar. USDT is backed by tangible assets such as fiat currencies and US Treasuries, guaranteeing its ongoing interchangeability with the US Dollar.

Previously, Tether held commercial paper, a form of short-term, unsecured corporate debt, but did not disclose the specific companies or locations from which it acquired the debt.

Tether eventually liquidated all of its commercial paper holdings and switched to US Treasuries, which are widely considered to be a more stable and reliable asset.

The company issues certificates, which are audit reports that certify the reserves of the company and the assets that it owns.

Tether’s latest certification, which covered the December quarter, showed that its assets exceeded its liabilities.

In February, Tether reported $700 million in profit for the quarter, with total assets minus liabilities of $960.6 million.

Also read: Thwarting Crypto Baddies: 4 Strategies to Outsmart Scammers and Protect Your Wealth

Tether’s CTO, told CNBC that the company expects its excess reserves to increase by $700 million in the current quarter, which would take Tether’s excess reserves to $1.66 billion and mark the first time Tether surpassed the $1 billion exceeded the dollar mark.

Ardoino noted, “So this money stays in Tether in the main company to continue capitalizing on the stablecoin.” B. a withdrawal fee of $1,000 (with a minimum withdrawal amount of $100,000), investing in digital tokens and precious metals, and lending to other institutions.

The value of all USDT in circulation has increased significantly over the past few weeks, from $70.98 billion on Jan.

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