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The shadow of Crypto’s currency jumps with past deposits of most US banks



Tether, the crypto stablecoin backed one to one of fiat currencies, has exceeded $ 50 billion in circulation, an amount that is more than secured deposits in all but 44 of the thousands of US banks.

This is a remarkable token cornerstone that enjoys widespread use as a payment method in the cryptosystem, even when the private company of the same name behind it has undergone regulatory control over its opacity where it holds the vast amount of reserves that support the token.

Tether will publish the first quarterly report on his reservations to the New York prosecutor this month. The disclosure is part of an agreement of a a long-running dispute with state regulators over whether it actually has reserves, but it is unclear whether investors will see it.

Not that Tether investors seem to be interested in either. The token̵

7;s popularity has grown only against the background of legal noise, as it has become the most traded cryptocurrency in the world, exceeding even the volume of the market leader Bitcoin. Traders and speculators use it as a channel to conduct transactions on crypto-only exchanges such as Binance and to park assets to avoid extreme price volatility in the sector.

“On these offshore exchanges, Tether is the main type of collateral and margin,” said Nick Carter, co-founder of Coin Metrics. “The volume of the stock market is growing and the volume of Binance is growing. In order for traders to gain access to these cryptocurrencies, they often prefer a stable currency such as Tether. You can think of offering Tether as a transparent balance proxy for both cryptocurrencies and cryptocurrency funds. “

Tether’s market capitalization jumps

In US dollars

Source: CoinMarketCap.com



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