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Hedge funds trying to destabilise USDT, says Tether CTO

Hedge funds trying to destabilise USDT, says Tether CTO

In a Twitter conversation on the specifics, Ardoino described the attacks as a new wave of FUD, troll armies, and clowns.

In a Twitter conversation on the specifics, Ardoino described the attacks as a new wave of FUD, troll armies, and clowns. In a Twitter conversation on the specifics, Ardoino described the attacks as a new wave of FUD, troll armies, and clowns.

Paolo Ardoino, the CTO of Tether, shed light on attempts by traditional hedge funds to arrange a coordinated attack to short the stablecoin  USDT Tether.

In a Twitter conversation on the specifics, Ardoino described the attacks as a new wave of FUD, troll armies, and clowns.

The exhaustive thread follows a Wall Street Journal report suggesting that traditional hedge funds are seeking to short tether via Genesi Global Trading, one of the largest cryptocurrency brokerages.

Ardoino began the discussion by detailing the instruments and tactics used by traditional finance to short USDT. Despite efforts to engage with regulators and promote openness, Tether and its crew have been labelled as bad guys, according to him.

Paolo commended the Tether team's accomplishments and efforts. He continued by claiming that Tether is decently collaterlised. He emphasised that Tether has constantly been redeemed USDT for $1 and has never failed a redemption.

Ardoino juxtaposed Tether to banks, noting that his team was able to process over $7 billion in redemptions, something banks cannot accomplish.

The CTO also mentioned that Tether handled 16 billion redemptions in less than a month, accounting for 19 per cent of its total reserve.

Throughout the Twitter thread, Ardoino emphasised Tether's stability, claiming that USDT is the only stablecoin that has been proven its mettle despite being under great strain.

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Published on: Jun 28, 2022, 12:03 PM IST
Posted by: aakanksha chaturvedi, Jun 28, 2022, 12:00 PM IST