{"id":42453,"date":"2021-05-13T19:53:56","date_gmt":"2021-05-13T16:53:56","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=42453"},"modified":"2025-08-30T23:17:51","modified_gmt":"2025-08-30T20:17:51","slug":"cash-and-cash-equivalents-accounted-for-76-of-usdt-reserves","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/cash-and-cash-equivalents-accounted-for-76-of-usdt-reserves\/","title":{"rendered":"Cash and cash equivalents accounted for 76% of USDT reserves"},"content":{"rendered":"<p>Cash and cash equivalents accounted for 76% of Tether Holdings Limited&#8217;s reserves. The data are contained in the issuer&#8217;s USDT quarterly report as of March 31, 2021.<\/p>\n<blockquote class=\\\"twitter-tweet\\\">\n<p lang=\\\"en\\\" dir=\\\"ltr\\\">\ud83d\udce2Tether releases quarterly information about the composition of its reserves backing issued tether tokens \u2b07\ufe0f<a href=\\\"https:\/\/t.co\/LP72rAuDtz\\\">https:\/\/t.co\/LP72rAuDtz<\/a><\/p>\n<p>\u2014 Tether (@Tether_to) <a href=\\\"https:\/\/twitter.com\/Tether_to\/status\/1392811872810934276?ref_src=twsrc%5Etfw\\\">May 13, 2021<\/a><\/p><\/blockquote>\n<p> <script async=\\\"\\\" src=\\\"https:\/\/platform.twitter.com\/widgets.js\\\" charset=\\\"utf-8\\\"><\/script><\/p>\n<p>The remaining portion of the reserves (24%) consisted of secured loans (12.55%), holdings in funds, bonds and precious metals (9.96%), and investments in digital assets (1.64%).<\/p>\n<p>According to the document, secured loans were issued to entities not affiliated with Tether Holdings Limited.<\/p>\n<p>Within the structure of cash and cash equivalents, the share of promissory notes stood at 65.4%, their equivalents issued by the U.S. Treasury at 2.94%, and reverse repurchase agreements at 3.6%. Fiduciary deposits accounted for 24.2%, and cash assets for 3.87%.<\/p>\n<figure class=\\\"wp-block-image size-large\\\"><img loading=\\\"lazy\\\" decoding=\\\"async\\\" width=\\\"718\\\" height=\\\"558\\\" src=\\\"https:\/\/u1f987.com\/wp-content\/uploads\/Tether-4.png\\\" alt=\\\"Cash and cash equivalents formed 76% of USDT reserves\\\" class=\\\"wp-image-135150\\\" srcset=\\\"https:\/\/u1f987.com\/wp-content\/uploads\/Tether-4.png 718w, https:\/\/u1f987.com\/wp-content\/uploads\/Tether-4-300x233.png 300w\\\" sizes=\\\"auto, (max-width: 718px) 100vw, 718px\\\" \/><figcaption>Data:<a href=\\\"https:\/\/tether.to\/wp-content\/uploads\/2021\/05\/tether-march-31-2021-reserves-breakdown.pdf\\\"> <\/a><a href=\\\"https:\/\/tether.to\/wp-content\/uploads\/2021\/05\/tether-march-31-2021-reserves-breakdown.pdf\\\" target=\\\"_blank\\\" rel=\\\"noreferrer noopener\\\">Tether.to<\/a><br \/><\/figcaption><\/figure>\n<p>In an interview with <a href=\\\"https:\/\/www.theblockcrypto.com\/post\/104780\/tether-usdt-reserves-breakdown-first-time-since-launch\\\" target=\\\"_blank\\\" rel=\\\"noreferrer noopener\\\">The Block<\/a>, Tether&#8217;s chief legal officer Stuart Hoegner urged investors not to treat lines other than cash as a liquidity issue. He said it would be a mistake to focus solely on this metric.<\/p>\n<p>A company representative declined to disclose the names of the issuers of the notes, citing \u201cstandard commercial practice\u201d.<\/p>\n<p>The lawyer gave no details on other reserve line items. He noted only that investments in digital assets are 100% Bitcoin.<\/p>\n<blockquote class=\\\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\\\">\n<p><em>\u201cBitcoin is a diversification of risk. As a hedge, it is used by several large public and private companies.\u201d<\/em>, said Hoegner.<\/p>\n<\/blockquote>\n<p>In February, the issuer of the stablecoin and the related cryptocurrency exchange Bitfinex <a href=\"https:\/\/u1f987.com\/en\/news\/bitfinex-and-tether-to-pay-new-york-state-18-5-million-in-settlement-over-financial-operations\">settled the dispute<\/a> with the New York Attorney General\u2019s Office over the loss of $850 million. At the time, Attorney General Letitia James said that Tether\u2019s claims that its digital asset was fully backed by U.S. dollars were false.<\/p>\n<p>The release of the current report formed part of the settlement with the New York Attorney General. The company undertook to continue this practice over the next two years.<\/p>\n<p>In May 2019, the company\u2019s chief legal officer Stuart Hoegner confirmed that only 74% of USDT backing consisted of fiat money.<\/p>\n<p>In late March 2021, independent auditor Moore Global presented a conclusion <a href=\"https:\/\/u1f987.com\/en\/news\/independent-auditor-confirms-tether-reserves-fully-back-usdt\">on the sufficiency of reserves<\/a> at Tether Holdings Limited to fully back the stablecoin.<\/p>\n<p>In April, the capitalization of USDT <a href=\"https:\/\/u1f987.com\/en\/news\/tether-marketisation-tops-50-billion\">exceeded $50 billion<\/a>, and the cryptocurrency exchange Coinbase Pro <a href=\"https:\/\/u1f987.com\/en\/news\/coinbase-announces-listing-of-tethers-usdt-stablecoin\">announced its listing<\/a>.<\/p>\n<p> Subscribe to ForkLog&#8217;s channel on <a href=\\\"https:\/\/www.youtube.com\/channel\/UCC9FnXTC8_ENzaNSO5cHQ6g\\\" target=\\\"_blank\\\" rel=\\\"nofollow noopener\\\"> YouTube<\/a>! <\/p>\n","protected":false},"excerpt":{"rendered":"<p>Cash and cash equivalents accounted for 76% of Tether Holdings Limited&#8217;s reserves as of March 31, 2021.<\/p>\n","protected":false},"author":1,"featured_media":42454,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[807,1245],"class_list":["post-42453","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-stablecoins","tag-tether-usdt"],"aioseo_notices":[],"amp_enabled":true,"views":"24","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/42453","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/comments?post=42453"}],"version-history":[{"count":1,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/42453\/revisions"}],"predecessor-version":[{"id":42455,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/42453\/revisions\/42455"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/42454"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=42453"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=42453"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=42453"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}