There is a difference. Tether buying #bitcoin with excess reserves.
What company own excess reserves mean?
It means that Tether, on top of the 100% reserves necessary to back issued tokens, has currently 2.5B+ USD (equivalent) more. This accounts to ~3% additional value on top of the minimum 100% reserves.
These excess reserves have been accrued through interest rates on our massive US t-bill portfolio and other investments (gold, ...).
StackSats / StackSats ⚡️
npub1hy…qv4y3
2023-05-17 15:57:09
in reply to nevent1q…62h7
Author Public Key
npub1hycynfhz23ardfmf9kgwfw4gpyqj2fsh24r2zuehg4x7lx4kn5cqsqv4y3Published at
2023-05-17 15:57:09Event JSON
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"content": "There is a difference. Tether buying #bitcoin with excess reserves.\n\nWhat company own excess reserves mean? \nIt means that Tether, on top of the 100% reserves necessary to back issued tokens, has currently 2.5B+ USD (equivalent) more. This accounts to ~3% additional value on top of the minimum 100% reserves.\nThese excess reserves have been accrued through interest rates on our massive US t-bill portfolio and other investments (gold, ...).",
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