HomeAltcoinTether fights back against allegations of bankruptcy from the Wall Street Journal.

Tether fights back against allegations of bankruptcy from the Wall Street Journal.


The Wall Street Journal was criticized yesterday for an article that Tether Holdings Limited believes spread “false information” about the company’s profitability, solvency, and accounting standards. Tether Holdings Limited is the issuing company of the market-leading cryptocurrency stablecoin, Tether (USDT).

Remember that Tether might be deemed “technically bankrupt” if its assets dropped by just 0.3%, according to a Monday WSJ article. The publication examined the assets and liabilities listed by Tether as of Thursday in order to draw this conclusion.

Tether stated in a blog post published on Tuesday that “the story aims to denigrate the effort Tether has done to communicate freely and honestly with the public.” The stablecoin issuer said, “BDO, a very recognized and independent Top 5 audit company, is not a ‘Tether accounting firm’ as the WSJ incorrectly reports.

In particular, Tether disputed the WSJ’s assertions that its exposure to short-term US Treasury bonds is a dangerous tactic. Tether also addressed claims that its operations are not profitable:

“According to our Consolidated Reserves Report, Tether has never disclosed equity, despite being profitable for several years. This same report has been deemed appropriate by significant stakeholders and has been accepted by the NYAG Maybe the WSJ confused Tether with some of its competitors,” the company explained.

Remember that the Tether stablecoin USDT frequently draws criticism and questions about its reserves, or even about their makeup, since the firm only releases a portion of the data on the assets that are intended to ensure the stability of the Tether stablecoin.

Leave a Reply


The last phase of Ripple process has begun.

The ongoing lawsuit between Ripple and the US Securities and Exchange Commission (SEC) has entered its final phase, according to Ripple CEO Brad Garlinghouse. Both...

Circle, a USDC issuer, has terminated its SPAC merger with Concord.

The circle was previously valued at $4.5 billion in July 2021, before being raised to $9 billion in February 2022. Circle, the creator of the USD...

For the community, the new Cardano algorithmic stablecoin reawakens old fears.

"I thought we already figured this out, algorithmic stablecoins aren't the best option," a Twitter user wrote. With the recent announcement that Cardano is on track...

Cryptocurrency exchange Kraken lays off 1,100 employees.

One of the biggest cryptocurrency exchanges in the world, Kraken, is reducing its workforce by about 30%, or 1,100 people, in order to "adapt to...

Follow us


Most Popular

%d bloggers like this: