All Tether tokens (USD₮) are pegged at 1-to-1 with a matching fiat currency and are backed 100% by Tether’s reserves. We publish a daily record of the current total assets and reserves. A popular use case for stablecoins involves cryptocurrency trading. If you need to liquidate your Bitcoin or altcoin during a crash, stablecoins such as Tether offer a quick and stable substitute to the US dollar.
The firm revealed that only a fraction of its holdings — 2.9%, to be exact — were in cash, while the vast majority was in commercial paper, a form of unsecured […]