• Contact Us
  • Affiliate Disclosure
  • Privacy Policy
  • Terms of Use
  • DMCA
Tuesday, January 31, 2023
WongaNews.com
  • Live Prices
  • Crypto News
  • Bitcoin
  • Altcoins
  • NFT News
  • Blockchain
  • Regulations
  • Trading
No Result
View All Result
  • Live Prices
  • Crypto News
  • Bitcoin
  • Altcoins
  • NFT News
  • Blockchain
  • Regulations
  • Trading
No Result
View All Result
WongaNews.com
No Result
View All Result

Tether, Circle, other stablecoin issuers’ govt. debt stands at $80 billion

August 22, 2022
in Altcoins
Reading Time: 4 mins read
A A
ShareShareShareShareShare

Stablecoins are an integral part of the crypto ecosystem. The top 3 stablecoins, Tether, USDC, and Binance USD, have a cumulative market cap of $138 billion. To maintain a stable value, the said assets must be backed by liquid assets at all times. It’s known that Tether, on its part, intends to buy U.S. Treasury bills and reduce its depends on other financial instruments like commercial papers.

Read More: Tether Commercial Paper Holding to Drop to $3.5 Billion by July 31

Related articles

As Bitcoin rallies after FTX collapse, 25% of supply is held between $15.5k and $23k

January 31, 2023

Lighting network provider Strike expands to Philippines

January 31, 2023

Resultantly, stablecoin issuers have increased their footprint in the US Treasury market. According to a recent Financial Times report, stablecoin issuers like Tether and Circle now hold $80 billion of short-term US government debt. Resultantly, they have more government debt than traditional companies like Warren Buffett’s Berkshire Hathway.

Elaborating on the same, Financial Times’ report noted,

Tether and its peers accounted for 2 per cent of the market for Treasury bills — debt instruments that are commonly used as a cash equivalent on corporate balance sheets — as of May, according to research from JPMorgan, more than the proportion owned by Warren Buffett’s investment behemoth Berkshire Hathaway.

Source: FT, JP Morgan

Furthermore, it is worth noting that, per JP Morgan, the newer issuers have “considerable room to grow should stablecoins become a form of digital payment.”

The ‘dramatic’ shift

Tether’s market cap has shrunk from more than $80 billion in May to below $70 billion. But, despite the micro-hiccups, Circle’s USDC has been steadier, with around $50 billion in issue. Per JP Morgan,

“We believe one of the primary drivers behind the dramatic shift has been the superior transparency and asset quality of USD Coin’s reserve assets.”

Of late, however, the supply of whales HODLing USDC has been diminishing. Per Glassnode, it stands at a 22-month low of 87.6%.

The said dip could mean that prominent participants are either diverting their funds from USDC to other assets or selling their stablecoins HODLings.

The cumulative number of deposits to exchanges remains low at this point, but the transactional volume has been hovering around its 3-year high.

In fact, per the net flows, quite a big chunk of USDC was sent to exchanges last week, making the speculative pendulum incline more towards selling than merely shuffling.

Source: CryptoQuant


Credit: Source link

ShareTweetSendPinShare
Previous Post

General Bytes Bitcoin ATMs compromised by threat actors

Next Post

Australia plans to implement token mapping amid intensified efforts to regulate crypto industry

Related Posts

As Bitcoin rallies after FTX collapse, 25% of supply is held between $15.5k and $23k

January 31, 2023

Definition UTXO Realized Price Distribution (URPD) shows at which prices the current set of Bitcoin UTXOs were created, i.e., each...

Lighting network provider Strike expands to Philippines

January 31, 2023

Send Globally, a remittance service on Bitcoin Layer 2 scaling solution provider Strike Lighting Network, will be available in the...

Bitcoin futures open interest grows ahead of FOMC meeting

January 31, 2023

Futures open interest (OI) is the total number of open futures contracts for an asset held by market participants. Open...

Court-appointed examiner confirms Celsius operated as a Ponzi

January 31, 2023

An independent U.S. court-appointed examiner reported that Celsius had used customers’ deposits to prop up the CEL token and enrich...

UK home to hundreds of companies running crypto, forex scams

January 31, 2023

The Bureau of Investigative Journalism (TBIJ) has identified 168 companies accused of running crypto or fraudulent foreign exchange trading scams...

Load More
Next Post

Australia plans to implement token mapping amid intensified efforts to regulate crypto industry

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Recommended

Implications of a global regulatory framework on crypto industry

January 4, 2023

How Ethereum Bulls use LSD

January 15, 2023

New York introduces bill to legalize crypto payments for state purposes

January 28, 2023

About Us

Wonga News is an online news portal that aims to provide the latest crypto news, blockchain, regulations, and much more stuff like that around the world. We promise to share only high quality content from the world's best crypto sources. Feel free to get in touch with us!

What’s New Here!

  • Kazakhstan Seeks to Improve Cryptocurrency Trading Framework
  • Silvergate’s ties to FTX face renewed scrutiny from senators
  • Trevor Jones Takes EthBoy London’s Oxford Street

Newsletter

Loading
  • Contact Us
  • Affiliate Disclosure
  • Privacy Policy
  • Terms of Use
  • DMCA

© 2022 WongaNews.com - All Rights Reserved!

No Result
View All Result
  • Live Prices
  • Crypto News
  • Bitcoin
  • Altcoins
  • NFT News
  • Blockchain
  • Regulations
  • Trading

© 2022 - WongaNews.com - All Rights Reserved!

  • bitcoinBitcoin(BTC)$23,136.001.90%
  • ethereumEthereum(ETH)$1,598.742.36%
  • USDEXUSDEX(USDEX)$1.07-0.47%
  • tetherTether(USDT)$1.000.04%
  • usd-coinUSD Coin(USDC)$0.99-0.64%
  • binancecoinBNB(BNB)$311.602.11%
  • rippleXRP(XRP)$0.4067073.41%
  • binance-usdBinance USD(BUSD)$1.000.13%
  • cardanoCardano(ADA)$0.3884694.71%
  • dogecoinDogecoin(DOGE)$0.09569610.14%
  • matic-networkPolygon(MATIC)$1.112.96%
  • okbOKB(OKB)$37.331.30%
  • solanaSolana(SOL)$24.091.51%
  • staked-etherLido Staked Ether(STETH)$1,574.621.17%
  • polkadotPolkadot(DOT)$6.261.57%
  • shiba-inuShiba Inu(SHIB)$0.0000122.87%
  • litecoinLitecoin(LTC)$93.633.68%
  • avalanche-2Avalanche(AVAX)$19.901.86%
  • tronTRON(TRX)$0.062064-0.10%
  • daiDai(DAI)$1.00-0.24%
  • uniswapUniswap(UNI)$6.582.21%
  • wrapped-bitcoinWrapped Bitcoin(WBTC)$22,913.001.11%
  • cosmosCosmos Hub(ATOM)$13.352.39%
  • chainlinkChainlink(LINK)$6.951.27%
  • ToncoinToncoin(TON)$2.270.69%
  • leo-tokenLEO Token(LEO)$3.52-1.86%
  • moneroMonero(XMR)$176.670.54%
  • ethereum-classicEthereum Classic(ETC)$21.621.96%
  • AptosAptos(APT)$16.94-0.99%
  • bitcoin-cashBitcoin Cash(BCH)$132.192.06%
  • Aerarium FiAerarium Fi(AERA)$7.12-13.06%
  • stellarStellar(XLM)$0.0906011.08%
  • apecoinApeCoin(APE)$5.861.74%
  • quant-networkQuant(QNT)$141.561.41%
  • crypto-com-chainCronos(CRO)$0.0789562.07%
  • nearNEAR Protocol(NEAR)$2.342.67%
  • filecoinFilecoin(FIL)$5.233.49%
  • lido-daoLido DAO(LDO)$2.186.75%
  • algorandAlgorand(ALGO)$0.2417441.25%
  • vechainVeChain(VET)$0.0231170.80%
  • internet-computerInternet Computer(ICP)$5.902.81%
  • hedera-hashgraphHedera(HBAR)$0.0644281.66%
  • fantomFantom(FTM)$0.5414.13%
  • decentralandDecentraland(MANA)$0.741.07%
  • axie-infinityAxie Infinity(AXS)$10.922.04%
  • aaveAave(AAVE)$83.052.92%
  • eosEOS(EOS)$1.061.73%
  • the-sandboxThe Sandbox(SAND)$0.732.21%
  • flowFlow(FLOW)$1.068.13%
  • elrond-erd-2MultiversX(EGLD)$42.932.64%