Tether says the Bloomberg article is full of “weird tales”
Tether released a statement about a Bloomberg investigative report published on October 7, describing the article as a “tiring attempt” to harm the largest stablecoin issuer.
The controversial company criticized the enforcer for basing his reporting on untrustworthy sources with no first-hand knowledge of how Tether’s business operates.
Some notable details cited by Bloomberg include issuing billions of dollars in loans to digital asset lender Celsius and carrying Chinese debt.
Tether insists that the USDT stablecoin, whose market cap has now ballooned to $68 billion, is fully backed:
All Tether tokens are fully supported, as we have consistently explained. The company has taken a leadership position in the field of transparency, providing quarterly guarantee certificates (up to the June 30, 2021 target date) confirming that all Tether tokens are fully backed.
Earlier today, former Treasury Secretary Steven Mnuchin said that stablecoins should be backed by actual US dollars held in a regulated bank so that they do not turn into casino chips.
In mid-September, as the problems of Chinese real estate giant Evergrande began to unravel, Tether denied holding its commercial papers or any other form of debt.
In late July, Bloomberg also reported that Tether was facing a criminal investigation in the United States, citing its sources. Tether, in turn, was accused of publishing “repackaging” some of the old claims of his story for the sake of excitement.