The CTO of Tether, Paolo Ardoino, speaks out about attempts by conventional hedge funds to orchestrate a coordinated attack to short USDT. In a Twitter discussion discussing the specifics, Ardoino stated that the attacks consist of a “new wave of FUD, troll armies, clowns.etc.”
The in-depth thread comes in the wake of a Wall Street Journal article that revealed traditional hedge funds are attempting to short tether through Genesi Global Trading, one of the biggest cryptocurrency brokerages.
Tether and team branded as the bad guys?
The conversation was started by Ardoino by highlighting the tools and strategies traditional finance uses to short USDT. He claimed that Tether and the team have been painted as villains despite efforts to work with regulators and promote transparency.
Paolo drew attention to the team’s efforts and accomplishments. He continued by saying that the token is fully backed. He emphasized the fact that the altcoin has consistently redeemed USDT at $1 and has never had a redemption fail.
Ardoino compared tether to banks and claimed that his staff processed more redemptions than 7 billion, which is impractical for financial institutions,
“Tether also reduced its commercial paper exposure from ~45B to ~8.4B and is set to phase it out in full in the coming months. All the expiring CP have been rolled into US Treasury bills, and we’ll keep going till CP exposure will be 0. Tether’s portfolio is stronger than ever.”
Ardoino said that it has handled 16 billion in redemptions in more than a month, or 19 percent of its total reserve, to demonstrate the strength of its portfolio.
Throughout the thread, Ardoino emphasized the token’s durability and stability and claimed that USDT is the only stablecoin that has been successfully used under great circumstances.
“And while the FUD was focusing on USDT, during the last 2 months of crypto devastation, it was discovered that many lenders and hedge funds considered the holy heroes of our industry were actually taking risks that Tether never touched even with a ten-foot pole.”