Tether reducing commercial paper holdings down to $3.5 billion by end-July #TOGRP7
Tether said July 1 that it is further reducing its commercial paper portfolio.This latest reduction will the stablecoin issuer’s commercial paper assets drop to a low of $3.5 billion from its current holdings of $8.4 billion, after $5 billion of these holdings expire on July 31.
Earlier in May, the stablecoin debunked rumors that 85% of its commercial paper portfolio was owned by Chinese firms and was being traded at a 30% discount.In response to these rumors, the company clarified that its commercial papers comprised less than 25% of USDT’s backing. In addition, it committed to reducing its commercial paper portfolio down to zero. The latest announcement, therefore, indicates that the company is making good on its promise. As per the post, U.S treasuries will now make up an even more significant percentage of Tether’s reserves.
