Stablecoin Issuer Tether Fulfills Promise by Reducing Commercial Paper Holdings Down to Zero
On October 13, 2022, Tether Holdings Limited announced that the stablecoin issuer has reduced the company’s commercial paper holdings down to zero. The company has said it would reach this goal for a while now, and Tether says that shrinking commercial paper holdings down to zero “demonstrates Tether’s commitment to backing its tokens with the most secure reserves in the market.” Tether Axes $30 Billion Worth of Commercial Paper Holdings, Firm Leverages US T-Bills Instead The company behind the largest stablecoin by market cap italization, Tether, has revealed that USDT’s reserves are exposed to U.S. Treasury Bills (T-Bills), in contrast to commercial paper holdings. The announcement follows the statement Tether’s chief technology officer Paolo Ardoino made on October 3. Tether-created chart that shows the stablecoin’s reduction in commercial paper holdings. At the time, Ardoino explained that U.S. Treasury bills represented more tha...