CoinShares has dismissed renewed concerns over Tether’s ability to meet its USDT obligations following Arthur Hayes’ warning that a sharp drop in Bitcoin and gold prices could render the stablecoin “insolvent.” According to CoinShares, Tether’s latest report shows $181 billion in reserves compared to $174.45 billion in obligations, representing a $6.55 billion surplus and over $10 billion in profits year-to-date — not indicative of systemic risk.
Hayes argued that Tether’s increasing allocation to Bitcoin and gold could make the company more susceptible to volatility, and a 30% drop in these two assets could wipe out its equity. However, CoinShares believes that strong profits and a reserve surplus help mitigate this risk.
Tether is also facing a potential downgrade from S&P Global due to its exposure to high-risk assets. Nevertheless, USDt remains the largest stablecoin on the market, with over $185 billion in circulation.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Blockchain payment company Utexo completes $7.5 million seed funding round, led by Tether and others
Utexo announces the completion of a $7.5 million seed round funding, led and participated in by multiple institutions. The company integrates Bitcoin, the Lightning Network, and the RGB protocol to provide payment operators with a single API access, enabling real-time USDT settlement, with features such as predictable transaction fees and fast settlement.
GateNews3h ago
Tether Backs Eight Sleep in $1.5B Health Tech Deal
Tether Investments invested in Eight Sleep to build AI-powered health intelligence tools using sleep and recovery data insights.
Eight Sleep will integrate Tether’s QVAC edge AI architecture to process sleep and health data directly on devices.
Tether Investments expands into health
CryptoFrontNews4h ago
USDC tops Tether as stablecoin transfers hit all-time high $1.8T
Stablecoins are delivering a liquidity surge unseen in recent cycles, with February marking a record on-chain transfer activity and signaling a shift in how capital moves through crypto markets. Allium’s data shows total stablecoin transfers climbed to $1.8 trillion in February, underscoring a
CryptoBreaking6h ago
Bitcoin Payments Expand as Utexo Secures $7.5M From Tether
Utexo has secured $7.5 million to enable direct USDT settlements on the Bitcoin network, reducing reliance on bridges and enhancing payment efficiency. Tether's investment signals strong market potential for Bitcoin as a stablecoin payment platform.
Coinfomania9h ago
Rumble latest financial report: holds 210.82 BTC, Tether commits $150 million for GPU service procurement
Rumble disclosed in its latest financial report that it holds 210.82 Bitcoins and $237.9 million in cash, with liquidity reaching $256.4 million. Tether will pay it $100 million in advertising fees and provide up to $150 million in GPU service procurement commitments to strengthen AI infrastructure collaboration.
GateNews13h ago
