Tether, the leading stablecoin, completed its reporting requirements to the New York Attorney General’s Office under the terms of its 2021 settlement earlier this year. That agreement required quarterly reports on Tether’s reserves for the next two years. Tether completely met its commitment, and there has never been any indication that the disclosures were inadequate or that the reserves were ever insufficient. Tether is glad to have fulfilled its settlement commitments. Tether is now more powerful than ever, with the biggest market valuation in history.
CoinDesk sought public disclosure of documents connected to Tether’s first quarterly report under New York’s Freedom of Information Law shortly after the settlement in 2021. The New York Attorney General’s Office provided CoinDesk with response papers this morning. They made these papers available because Tether chose to withdraw its resistance to CoinDesk.
Tether started these procedures in the first instance to avoid the public disclosure of personal customer data as well as the usage of sensitive commercial information that might be misused by harmful parties. Their continued and demonstrated dedication to transparency, on the other hand, implies that they must choose openness above more time-consuming and ineffective American litigation that distracts from the fundamental concerns confronting their community.
Tether’s banks’ declarations demonstrating the entire existence of Tether’s reserves, as evidenced by their publicly revealed, independent, third-party assurance attestations, are among the papers provided. Furthermore, the statements demonstrate how Tether has used best-in-class asset management strategies, such as short-term investments and diversification, as seen by the investments indicated in the different bank statements. Their harshest critics have made several claims concerning the stability and veracity of Tether’s backing. As a result, these resources should dispel any false rumors. The papers are also out of date, inadequately depict the state of Tether’s reserves at this time, and fail to take into account the revolutionary changes to Tether’s environment. Tether, among other things, cut its commercial paper holdings to zero by mid-2022 and dramatically decreased its secured loan portfolio, intending to bring it to zero in the next months.
They are suspicious since today’s attack on USD was carried out via both DeFi and controlled exchanges on the same day that documents were passed over to CoinDesk. This timing creates concerns. Tether, on the other hand, has nothing to conceal and is confident in the authenticity of its financial data. While their sensitivity to a government agency exposing sensitive data—at least in terms of Tether’s reserves—is lower now than it was in 2021, Tether remains concerned about client data. They urge CoinDesk to put their bias aside and refrain from publishing any past or present customer names, putting anyone in the community at risk physically or digitally, even though they know they cannot rely on impartial reporting from the publication, which has frequently misrepresented Tether’s market position in favor of its main rival.
While CoinDesk is likely still examining the material supplied, Tether is monitoring the USDT markets and searching for more indicators of manipulation aimed to create fear when and if they decide to publish anything on this topic. Despite these concerns, Tether has opted to take a firm stand in support of openness. If correctly read and analyzed, the provided material merely confirms publicly the validity of Tether’s operation and the existence of its reserves.
Tether is delighted to be the most popular stablecoin and a positive force in the community. They take pleasure in the deep liquidity of their reserves, as well as their resilience and stability, which have been tested through many black swan events that have wreaked havoc on portions of the crypto business as well as the regular financial system. Tether will always protect its customers, employees, and community from assaults.
