Tether’s Balance Sheet Confirmed Enough To Support $83 Billion In USDT

Key Points:

• Cantor Fitzgerald CEO verifies Tether’s balance sheet, affirming its legitimacy.
• Tether, the leading stablecoin, seeks to build confidence with third-party attestations and Cantor Fitzgerald’s backing.
• Tether responds to UN claims, pledging to combat money laundering and citing blockchain transparency as a deterrent.

According to Bloomberg, Cantor Fitzgerald LP’s Chief Executive Officer, Howard Lutnick, has confirmed the legitimacy of Tether’s balance sheet, dispelling long-standing speculation about the stablecoin’s backing.

Cantor Fitzgerald CEO Vouches for Tether’s Balance Sheet, Confirming Legitimacy

Tether, a significant player in the cryptocurrency market, reported assets totaling $86 billion at the end of June, supporting approximately $83 billion of its USDT stablecoin.

Lutnick, who oversees assets for Tether, stated in an interview at the World Economic Forum in Davos that Cantor Fitzgerald has thoroughly reviewed Tether’s balance sheet and affirms that the issuer indeed holds the claimed funds. This revelation comes amid historical skepticism regarding Tether’s one-to-one backing of its stablecoin with US dollars.

Tether CEO Paolo Ardoino welcomed the endorsement, emphasizing the resilience of their reserves. Despite controversies, including a $40 million settlement in 2021 over collateral-related allegations, Tether began publishing attestations of its reserves with a third-party accounting firm. These attestations offer a snapshot-in-time view rather than a comprehensive audit.

Tether’s USDT, circulating around $95 billion, is the largest stablecoin globally, drawing both acclaim and regulatory scrutiny.

As Coincu reported, a recent report by the United Nations Office on Drugs and Crime labeled USDT as a popular choice for money laundering and illicit transactions. Tether responded, pledging to combat criminal use and citing blockchain transparency as a deterrent to illicit activities.