Tether USDt

Tether $USDT , that issues stablecoins, has begun giving customers new loans with USDT as the denominator. This comes almost a year after the company stated its intention to stop issuing collateralized loans in 2023.The information was found in the business&#39; most recent quarterly financial update, which shows an increase in loans denominated in USDT. According to the study, as of June 30, there were $5.5 billion in loans among the assets, up from $5.3 billion in the previous quarter.Tether spokesman Alex Welch, who acknowledged that the company did in fact offer fresh loans during the second quarter of 2023, was mentioned by the Wall Street Journal earlier today.<blockquote>&#34;We received a few short-term loan requests from clients with whom we have cultivated longstanding relationships, and we made the decision to accommodate these requests.&#34; Welch explained.</blockquote>Welch asserts that the loans were made for two main reasons: first, to prevent any depletion of customer liquidity, ensuring that clients could carry on with their operations free from liquidity constraints; and second, to help clients avoid having to sell their collateral at possibly unfavorable prices.However, Tether&#39;s move to resume lending the USDT stablecoin contrasts with an announcement from the company late last year.The corporation had stated in December 2022 that it intended to reduce secured loans in USDT reserves to zero throughout 2023. In response to the failure of the cryptocurrency exchange FTX, a statement was published with the intention of rebuilding market confidence.Tether, based in the British Virgin Islands, claims that conventional banks are inadequately serving their consumers, which is bad for business but &#34;few have taken the time to examine this further.&#34;<img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/62b5c12b8c1443488ebedf00da62867a.png" />Additionally, Tether emphasized its over $3.3 billion in excess reserves, claiming that &#34;anyone with a minimum understanding of financial markets would see that [the company] is in all effects offsetting the secured loans and retaining such profits within the company balance sheet.&#34;According to the firm, it is &#34;still committed to removing the secured loans from its reserves.&#34;Tether, in a separate move today, announced it will be &#34;expanding its reach beyond fintech&#34; by making a strategic investment in Northern Data Group, a supplier of data center and cloud environment services based in Germany. The agreement between the two firms will allow them to work together on projects including AI, communications, and data storage.

Tether Has Started Lending Usdt Again And Says It Will Keep Extra Reserves

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