S&P Global's Consumers’ Research has just released a critical report on USDT issuer Tether, sparking concerns about the company's transparency. The report, dated September 12, highlights that despite multiple promises, Tether has yet to conduct a full audit of its US dollar reserves.
The consumer protection group compared Tether's lack of transparency to the events that led to the collapse of #FTX and Alameda Research, raising alarms across the industry. The report went even further, alleging that Tether has been collaborating with questionable entities and failing to prevent USDT from being used to evade international sanctions.
Tether's stability rating? A shaky 4 out of 5 (with 5 being the worst).
Meanwhile, industry figures like Howard Lutnick, CEO of Cantor Fitzgerald, have defended Tether, assuring that the company’s assets are solid. Plus, the stablecoin giant recently hired former Chainalysis economist Philip Gradwell to enhance transparency in USDT reports, a step aimed at reassuring regulators and investors alike.
Tether's CEO Paolo Ardoino revealed that since 2014, the company has seized over 108.8 million USDT linked to illegal activities.
As the crypto world watches closely, the question looms: Is Tether ready to face the storm?
