S&P Global downgrades Tether’s stability rating to weakest level
Crypto Briefing
S&P Global downgraded Tether's USDT stability rating due to increased exposure to volatile assets like Bitcoin and gold.Summary
S&P Global has downgraded the stability rating of Tether's stablecoin, USDT, to its lowest level, citing concerns over its reserve composition and disclosure gaps. The downgrade was prompted by Tether's increased allocation to volatile assets such as Bitcoin and gold, which introduces potential risks to the stablecoin's ability to maintain its dollar peg. Although Tether maintains a majority in cash and Treasury bills, the rating agency highlighted that these reserve shifts and governance issues undermine confidence in USDT's stability.
(Source：Crypto Briefing)