• 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

Gold Rallies First, Then Bitcoin Takes Over, Analyst Says

chest

Analysis indicates that Bitcoin often rallies significantly after gold completes a major advance.

user avatarArif Mukhtar

Trump Doubts Machado's Capability to Lead Venezuela

chest

U.S. President Donald Trump expresses doubts about Maria Corina Machado's ability to lead Venezuela.

user avatarDavid Robinson

Leadership Transition in Venezuela After Maduro's Capture

chest

Following the capture of Venezuelan President Nicolás Maduro, attention has shifted to the country's transition to new leadership, with Maria Corina Machado emerging as a key contender.

user avatarMaria Gutierrez

ADP Employment Report to Kick Off Key Labor Market Week

chest

The ADP National Employment Report will be released on January 7, 2025, providing insights into the private-sector labor market and measuring monthly changes in employment.

user avatarAndrew Smith

Initial Jobless Claims Report Set for January 8, 2025

chest

The US Department of Labor will release the Initial Jobless Claims report on January 8, 2025, providing a timely assessment of labor market conditions.

user avatarJacob Williams

Snek: A Cult-Favorite Meme Coin with Serious Potential

chest

Snek is a meme coin inspired by a popular internet meme of a snake, with a strong following and potential for growth in 2025.

user avatarAyman Ben Youssef

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.