Tether's Dollar Reserves Transparency Concerns Raise FTX Parallels
CryptoNewsTerminal Staff12 Sep, 2024
Tether's Dollar Reserves Transparency Concerns Raise FTX Parallels
Tether, the issuer of the widely used stablecoin USDT, is facing scrutiny over a lack of transparency in its dollar reserves. According to a report by consumer protection group Consumers Research, Tether has yet to provide a comprehensive audit report verifying the dollar holdings backing USDT. This lack of transparency echoes the situation that precipitated the collapse of FTX and Alameda Research. Despite repeated promises, Tether has failed to produce an audit by a reputable accounting firm, raising concerns about the stability and reliability of USDT.
