Odaily Odaily that S&P Global Ratings downgraded Tether's stability assessment to "5," the weakest level in the rating system, citing an increase in riskier reserve assets. S&P warned that USDT no longer has sufficient buffer to absorb a decline in Bitcoin's value. S&P stated that Bitcoin currently accounts for approximately 5.6% of the total circulating supply of USDT, higher than the approximately 3.9% reserve buffer implied in Tether's latest Q3 financial report released at the end of October. This means that a significant drop in Bitcoin's price, especially coupled with losses in other high-risk assets, could lead to insufficient collateral for USDT. (The Block)
S&P Global Ratings downgraded Tether's stability assessment to the lowest level.
This article is machine translated
Show original
Sector:
Source
Disclaimer: The content above is only the author's opinion which does not represent any position of Followin, and is not intended as, and shall not be understood or construed as, investment advice from Followin.
Like
Add to Favorites
Comments
Share





