X @Wu Blockchain

Arthur Hayes, founder of BitMEX, said the latest audit suggests Tether is effectively betting on imminent Fed rate cuts, which would erode its interest income. In response, Tether has increased its holdings of gold and Bitcoin to hedge against a “falling price of money.” Hayes noted that a roughly 30% drop in this gold–BTC portfolio would wipe out Tether’s equity, putting USDT theoretically at risk of insolvency. He added that major holders and exchanges are likely to demand real-time visibility into Tether ...