Turning Heads: Tether’s Bold Move into U.S. Treasury Bonds

• Tether, one of the world’s largest stablecoin companies, has made a substantial investment in US Treasury bonds.
• According to Tether’s Chief Technology Officer Paolo Ardoino, the company holds $72.5 billion in Treasury bonds.
• This investment places Tether among the top 22 holders, surpassing several countries, and signifies the adoption of USDT as a safe haven against inflation.

Tether, a leading stablecoin company, has invested heavily in US Treasury bonds, making it one of the top holders globally and reinforcing the role of USDT as a hedge against inflation.

USDT: A Lifeline for Users

As one of the world’s largest stablecoin companies, Tether has become one of the major holders of US Treasury bonds, according to Paolo Ardoino, the company’s Chief Technology Officer. In a social media post, Ardoino highlighted that Tether currently holds $72.5 billion in Treasury bonds. This amount places the stablecoin issuer among the top 22 holders globally, surpassing several countries, including Spain, Mexico, Australia, and the United Arab Emirates.

Ardoino believes this development showcases the importance of USDT in various emerging markets worldwide. According to him, USDT provides communities with a lifeline to protect themselves against rampant inflation in national currencies. He shared this development in response to another social media post highlighting the declining rate of China’s ownership of US bonds. According to the news, China is exiting US bonds and transferring its funds to gold, a safer investment vehicle.

Tether Continues Its Investments and Collaborations

Before Paolo Ardoino’s sharing, it was reported earlier this year that Tether held billions of dollars in bonds. The company released a reserve statement on July 31, stating that it held over $3.3 billion in excess reserves for USDT.

Meanwhile, Tether continues to strive to expand its reach. On August 29, it added a private bank in the Bahamas, Britannia Bank & Trust, to its platform to process dollar transfers. The company joined the list of banking partners for Tether, which includes Deltec Bank and Capital Union Bank.

Conclusion

Tether’s significant investment in US Treasury bonds not only places it among the top global holders but also reinforces the role of its stablecoin, USDT, as a safe haven against inflation. This development, along with its ongoing investments and collaborations, continues to strengthen Tether’s position in the global cryptocurrency market.