USDT Smashes Records Again—Why Are Regulators Sweating?
Tether's USDT just hit another all-time high—liquidity floods the market as traders pile into stablecoins. Meanwhile, watchdogs gnash their teeth over the 'black box' backing.
Behind the numbers: The world's dominant stablecoin now commands 72% of all crypto transactions. No audits, no problem—until the SEC comes knocking.
Regulatory target practice: USDT's explosive growth coincides with fresh warnings from the Fed about 'systemic risks'. Because nothing says 'stable' like a currency backed by mystery assets.
Last word: Traders keep stacking USDT like Monopoly money while traditional finance clutches its pearls. The irony? Banks would kill for this level of adoption—if they could control it.
In Brief
- Tether passes the historic milestone of 160 billion USDT in circulation, according to the latest official data.
- The US GENIUS Act could ban USDT without an independent audit of its financial reserves.
- Billions of USDT are being created to meet demand, but with no certainty about collateral.
- Tether remains essential for crypto liquidity, despite the criticism and impending regulatory risks.
The Crypto Dollar of the Forgotten: The Other Face of Tether
As American regulators sharpen their weapons,finds a precious place in the pockets of the world’s most vulnerable. In a tweet posted on July 16, Paolo Ardoino, CEO of Tether, celebrates this: “A new dizzying milestone, a declaration of the unparalleled utility of USDT as a digital dollar for billions of people living in emerging markets and developing countries.”
And: in Nigeria, Argentina, Lebanon, and Turkey, USDT is establishing itself as a bulwark against hyperinflation. It bypasses failing local banks and enables millions of families to send, receive, and preserve value.
A, accessible via Telegram, Tron, or Binance, and that no one truly controls. Tether doesn’t sell dreams; it sells stability. And in some countries, that’s a luxury.
The GENIUS Act or the States’ Revenge on Stablecoins
In the hushed corridors of the US Senate, theadvances. This bill could simplyif its reserves are not audited by a third party. A logical requirement, but one that shakes the walls of crypto finance. Because Tether has never accepted a full audit of its reserves.
According to analysts,. And according to crypto influencer Jacob King, the situation is explosive:
Tether is about to be BANNED as soon as the GENIUS Act passes the Senate. Why do you think they desperately print USDT out of thin air to inflate prices to unsustainable heights? […] If you hold crypto, get out while you still can.
By imposing, the United States seeks to restore its authority over digital finance. It is a clash between two sovereignties: that of blockchains, and that of governments.
Liquidity, leverage, overheating: Tether on the edge
Behind the explosion in figures, warning signals are flashing. On July 16, Tether struck again:were issued in one day. Some went to Binance, the rest into inventory. A maneuver that feeds doubts about the purpose of these issuances.
Pressure is also mounting on the Bitcoin market, fueled by derivatives and leverage. If a wave of forced liquidation hits overleveraged funds, the domino effect could be fatal.
Tether maintains that its tokens are fully covered by its reserves. Officially,. However, no external firm can confirm this figure.
Key numerical benchmarks:
- Tether has issued 160 billion USDT, a historic record;
- 2 billion USDT minted in one day, July 16;
- $127 billion in Treasury bonds according to Tether, but without external audit;
- 85% of estimated Bitcoin volume depends on USDT according to analysts;
- Tether is used in more than 150 countries, often as a substitute for local currencies.
Despite everything, USDT remains the. Instantaneousness, absence of KYC, stability: it’s an explosive cocktail… or a lifesaver, depending on the perspective.
Behind wallet projects and Web3 ambitions, Tether stays true to a philosophy: accumulating solid reserves. The company now reportedly holds over 100,000 bitcoins and nearly 50 tons of gold. A SAFE resembling a central bank… without the bank.
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