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Tether Dismantles Rumors, Claims Zero Lending Exposure to Celsius and Three Arrows Capital

George Georgiev Jun 15, 2022 09:01
Tether refuted claims that it has lending exposure to Celsius and to Three Arrows Capital.

Tether – the company behind the leading stablecoin by means of overall market capitalization (USDT) – has publicly dismantled rumors about Asian Commerical Paper backing and more.

  • The downturn in the cryptocurrency markets continues but Tether – one of the most prominent players in the industry – debunked some of the rumors that are running wild.

Tether is aware of rumors being spread that its commercial paper portfolio is 85% backed by Chinese or Asian commericial papers and being traded at 30% discount. These rumors are completely false and will likely spread to induce further panic in order to generate additional profits from an already stressed market.

  • According to the official press release, the company reiterated that its current portfolio of commercial papers has been reduced to 11 billion and will be further reduced to 8.4 billion by the end of this month.
  • All these decreases will happen “without any recurrences of losses.”
  • Following this, the commercial papers that expire will be rolled into US Treasuries with a short maturity.
  • Another thing that the press release revealed was that Tether has zero exposure to Celsius – almost.

Tether has currently zero exposure to Celsius apart from a small investment made out of Tether equity in the company.

  • The company categorically refuted claims that it has a lending exposure to Three Arrows Capital – another fund that’s rumored to be in distress.
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George Georgiev

Georgi Georgiev is CryptoPotato's editor-in-chief and seasoned writer with over four years of experience writing about blockchain and cryptocurrencies. Georgi's passion for Bitcoin and cryptocurrencies bloomed in late 2016 and he hasn't looked back since. Crypto’s technological and economic implications are what interest him most, and he has one eye turned to the market whenever he’s not sleeping. Contact George: LinkedIn