From March 31 to now, Tether has reduced its CP holdings by nearly 50%. By the end of June, only 8 months left. 4BCP. CP exposure will be reduced to 0.
There are no degrees Celsius in our stockpile. Liquidation without loss.
To provide context, it is anecdotal that Tether China and Asia commercial paper backed financial planning accounted for 85% and discounted transactions accounted for 30%. Tether denounced false rumors that it owns commercial paper, saying it was just a panic-mongering tactic.
Tether leaders said the rumors were an attempt to create panic in an already volatile market environment for quick profits. According to Tether's recent guarantee proposal, U.S. Treasury bonds now account for more than 47% of USDT's total reserves, commercial paper accounts for 47%, and USDT is backed by less than 25%.
Executives at the platform also wrote that their commercial paper holdings had fallen to 11 billion, and were forecast to reach 8.4 billion by the end of June. It also ensures that CP exposure will gradually drop to zero without incurring losses. The company also added that the current status of the Celsius lending platform and the liquidation of Tether resulted in any losses.
Tether lending activity with Celsius is (like any other borrower) already overcollateralized: read post. It said Tether did not touch Celsius consistently, other than small investments made by the company Tether in addition to shares.
There is also a rumor that has been circulating that Tether borrowed money from Three Arrows Capital. Tether also denied the rumor, saying it was false.
