Cantor Fitzgerald CEO Howard Lutnick recently expressed his strong endorsement for the stablecoin issuer Tether [USDT], declaring himself a “big fan” of the stablecoin issuer. In a recent interview with CNBC, Lutnick shared his positive sentiments, revealing that he holds Tether’s treasuries. He emphasized the substantial size of USDT’s treasuries, which currently exceed $90 billion, solidifying his admiration for the stablecoin.
I’m a big fan of this stablecoin called USDT…I hold their treasuries, and they have a lot of treasuries. They are over $90 billion now… I’m a big fan of Tether.
Cantor Fitzgerald, a renowned Wall Street bond trading powerhouse, is responsible for managing Tether’s impressive $39 billion bond portfolio. As a privately held firm led by Howard Lutnick, Cantor Fitzgerald holds a prominent position among the well-known bond trading houses on Wall Street and operates as one of the 25 primary dealers for U.S. Treasurys, allowing direct trading access with the Federal Reserve.
This endorsement from Cantor Fitzgerald is particularly noteworthy given the historical reluctance of other Wall Street firms to extend services to Tether.
In a recent development, the leading stablecoin provider introduced a new policy on December 9, 2023, aimed at enhancing the security and reliability of its tokens. Under this policy, wallets associated with sanctioned individuals or entities on the OFAC SDN List will be frozen. The cryptocurrency community has responded with mixed reactions, with some commending the crypto firm for its proactive and responsible approach, while others criticize the stablecoin for perceived opacity and lack of trustworthiness.
CEO Reacts On Tether’s New Policy
Tether’s CEO, Paolo Antonio, defended the policy, framing it as a strategic decision aligned with their commitment to upholding the highest safety standards for the stablecoin ecosystem. Antonio emphasized that the policy is designed to prevent potential misuse of the tokens, fostering a safer and more positive utilization of stablecoin technology.
As of December 10, 2023, the stablecoin issuer maintains its position as the most popular and widely used stablecoin, boasting a market capitalization exceeding $90 billion. Tether’s tokens, backed by reserves of U.S. dollars and other assets, serve diverse purposes, including trading, remittance, payment, and hedging.