Arthur Hayes: If Tether's gold and Bitcoin holdings fall by about 30%, USDT will theoretically become insolvent.

According to Odaily Planet Daily, Arthur Hayes posted on the X platform that Tether is in the early stages of large-scale interest rate trading. Tether believes the Federal Reserve will cut interest rates, which will reduce its interest income, so it is buying gold and BTC as a countermeasure. If its gold and BTC holdings fall by about 30%, it will deplete its equity, and theoretically, USDT will face the risk of insolvency.