Tether solvency fears are ‘misplaced’ as company sits on large surplus: CoinShares
CoinShares research head James Butterfill stated that fears over Tether's solvency are misplaced due to its nearly $6.8 billion surplus.Summary
CoinShares' head of research, James Butterfill, countered recent solvency warnings about Tether, particularly those from BitMEX founder Arthur Hayes, asserting that fears are "misplaced." Butterfill pointed to Tether's latest attestation, which shows $181 billion in reserves against $174.45 billion in liabilities, resulting in a surplus of nearly $6.8 billion. While acknowledging that stablecoin risks should not be entirely dismissed, he concluded that current data does not suggest systemic vulnerability. This defense comes as Tether faces criticism, including a recent downgrade from S&P Global regarding USDt's ability to maintain its dollar peg due to exposure to assets like gold and Bitcoin, which CEO Paolo Ardoino dismissed as "Tether FUD."
(Source：Cointelegraph)