• Dapps:16.23K
  • Blockchains:78
  • Active users:66.47M
  • 30d volume:$303.26B
  • 30d transactions:$879.24M

Investors Concerned Over Tether's Operation Transparency

user avatar

by Giorgi Kostiuk

a year ago


  1. Origin of Concerns
  2. Cyber Capital Founder’s Opinion
  3. Stablecoin Market and Investor Concerns

  4. Investors are increasingly worried about Tether, the world's largest stablecoin issuer, due to its persistent refusal to undergo an independent, third-party audit. With over $118 billion in circulation, concerns about Tether’s opaque operations are growing.

    Origin of Concerns

    In the context of over $118 billion in circulation, investors fear a potential liquidity crisis akin to the downfall of the FTX exchange. The lack of independent, third-party audits raises significant concerns, which could have serious repercussions for the entire crypto space.

    Cyber Capital Founder’s Opinion

    Justin Bons, the founder of Cyber Capital, has recently explained the risks of Tether. On September 14, in an X post, Bons described Tether as a 'major threat' to the crypto space. He pointed out that the company is asking the public to believe that it has $118 billion in reserves with no evidence. This lack of transparency is not new. In 2021, the U.S. CFTC charged Tether a $41 million penalty for making false statements about its reserves.

    Tether asks the public to believe that it has $118 billion in reserves without evidence.Justin Bons

    Stablecoin Market and Investor Concerns

    Tether controls more than 75% of the stablecoin market, having grown its market share by 20% over the past two years. This dominance is causing even more concern. Investors fear Tether’s size and lack of transparency could lead to a collapse similar to FTX.

    Tether's persistent refusal to undergo an independent audit and its dominance in the stablecoin market remain key sources of concern for investors. Potential risks require careful monitoring and analysis.

0

Rewards

chest
chest
chest
chest

More rewards

Discover enhanced rewards on our social media.

chest

Other news

New US Crypto Bill Aims to Clarify Digital Asset Regulations

chest

Congress is currently deliberating on a new bill that seeks to define digital assets as either commodities or securities, which would put an end to years of regulatory uncertainty.

user avatarKaterina Papadopoulou

Akash Network Launches AkashML for AI Inference

chest

Akash Network has launched AkashML, a managed AI inference platform, as part of its 2025 Supercloud roadmap to enhance decentralized AI compute infrastructure.

user avatarMaya Lundqvist

Market Reacts to Akash's AI Inference Expansion

chest

Market reactions indicate potential growth in AKT utility, central to AI deployment payments.

user avatarLeo van der Veen

Ripple Enhances Payment Processing with Earthport Integration

chest

Ripple enhances payment processing with Earthport integration, allowing for the exchange of payment instructions with SWIFT users.

user avatarTenzin Dorje

XRP's Utility in Cross-Border Payments Enhanced by ISO 20022 Compliance

chest

Ripple's participation in the ISO 20022-aligned messaging environment may enhance the use of XRP in cross-border payment workflows.

user avatarAisha Farooq

Financial Institutions Required to Transition to ISO 20022 by November 2025

chest

The financial industry must transition to ISO 20022 payment instructions by November 2025, impacting how payments are processed.

user avatarLi Weicheng

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.