Stablecoin Tether Issues 250 Million Additional USDT Tokens
Stablecoin Tether, which claims that its USDT token is backed 1-to-1 by the US dollar (USD), has issued 250 million more units of USDT.
Data published by OmniExplorer on June 25 shows that 250 million additional USDT have been issued by Tether. This latest USDT issuance comes on the heels of another 250 million addition to the overall supply made on May 18.
Tether claims to have enough dollar holdings to back each and every USDT with fiat. An undated Transparency Update from Tether provides an “interim analysis” performed by legal consulting firm Friedman LLP, with a procedures date of September 15, 2017. According to the interim analysis, 442.48 million USDT tokens in circulation on September 15, 2017 were backed by $442.98 million in funds on Tether-owned bank accounts.
Litecoin (LTC) founder Charlie Lee tweeted on June 25 that new Tether issuance has generally “been a precursor of price going up,” and that Tether issuance coincides with users depositing USD. According to Lee, the new USDT “will then be used to buy crypto,” but that “doesn't mean they [USDT owners] will buy right away.”