Tether has continued to reduce its commercial paper holdings and now it is less than $50 million, having more than half of its backing in US Treasury Bills.
This continuous reduction in Tether’s commercial debt holdings is in accordance with the plans of the firm that were revealed earlier this year.
- Tether CTO Paolo Ardoino announced through an update posted on Twitter on Monday (October 3, 2022), that the company’s total US Treasury portfolio is currently at 58.1% as of September 2022. This shows an increase from the previous 43.5% on June 30.
- He also mentioned that the firm has slashed its commercial debt holdings to less than $50 million.
- This development is coming shortly after a US District Court in New York in September ordered Tether to provide financial records to access USDT backing. The court order was a response to the lawsuit filed in 2019, claiming that Tether alongside crypto exchange Bitfinex manipulated the market to issue USDT and inflate the price of Bitcoin.
- Tether responded by saying the court order was just “a routine discovery order” and does not “substantiate plaintiffs’ meritless claims.” The stablecoin issuer also mentioned that the company already planned to produce the documents concerning its USDT reserves.
- In August, Tether said it would now provide attestation reports every month, which was an upgrade on the former quarterly attestations, and also hired the accounting firm BDO Italia.
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