Tether's latest audit report: With reserves of US$66.4 billion, commercial paper exposure has decreased by nearly 58%

This article comes fromDecrypt, the original author:Andrew Asmakov

Odaily Translator | Nian Yin Si Tang

This article comes from, the original author:。

Odaily Translator | Nian Yin Si Tang

Tether released the latest USDT reserve yesterday

Quarterly Guarantee Opinion

Quarterly assurance opinions are a way for stablecoin issuers to assure the market that their stablecoins are backed by physical assets. It involves evaluating and analyzing different operations, processes and procedures.

According to the official statement, USDT is backed by U.S. dollars, which means that holders can redeem the equivalent amount of U.S. dollars they hold at any time, provided of course that Tether has sufficient cash reserves.

With a market capitalization of $67.5 billion, USDT is also the third-largest cryptocurrency after bitcoin and ethereum, and Tether's reserves have been closely watched due to its importance in the industry.

Tether highlighted that its consolidated assets exceeded its consolidated liabilities, which totaled $66218725778.statement"We are fully committed to maintaining our role as the leading stablecoin in the market," Tether CTO Paolo Ardoino said in a statement.

statement

“Tether’s utility continues to be supported by the transparency of its reserves and has been a major source of stability, enabling us to build a tool for the global economy,” Zhong said.secondary titleTether's exposure to commercial paper

compared to the previous quarter

, Tether’s commercial paper holdings fell by more than 57.5% from $20 billion to $8.5 billion. Tether said this is consistent with the company's plan to reduce its commercial paper exposure to $200 million by the end of August 2022, and to zero by the end of this year.

The company also said its cash and bank holdings increased by 32% during the reporting period.image descriptionTether Assurance Report August 2022, Source: Tether.

According to Tether released in May this year

First Quarter Assurance Report

Tether , about 86% of the company's reserves are in cash and short-term deposits, 4.5% in corporate bonds, 3.8% in secured loans, and 6% in "other investments," including "digital tokens."Commercial paper is a type of security issued by large companies to pay for short-term obligations such as inventory or payroll.

Earlier this year, it was rumored that part of Tether’s commercial paper portfolio was “85% backed by Chinese or Asian commercial paper, trading at a 30% discount”.

, saying the rumors were intended to "generate more profits in an already tight market, thereby causing further panic".AnnounceWhile Tether did not disclose which companies issued its commercial paper, yesterday's report said that "the average rating for commercial paper and certificates of deposit has improved and continues to remain in the A-1 to A-2 range."

Tether Thursday