Tether issued $11.6 billion in collateralized loans from 2019 to 2021

2023-06-17 09:29:10

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ChainCatcher news, according to The Block, based on legal settlement documents released by the New York Attorney General this week, stablecoin issuer Tether issued $11.6 billion in loans between June 2019 and May 2021. Of the 694 loans, 89% were secured by Bitcoin, and 9% were secured by Ethereum. The remaining 2% were secured by Tether Gold (XAUT) and other securities. Tether received a total of 450,000 Bitcoins and 1.1 million Ethers as collateral. The documents also showed that Tether repaid $8 billion in loans during this period.

In a statement yesterday, Tether stated that it has historically engaged in loan transactions, a fact that has always been disclosed in its independent third-party assurance reports, which provide loans (over-collateralized) to a select group of larger Tether clients. In December 2022, Tether also indicated that it would reduce the collateral and over-collateralized loans in its reserves to zero during 2023. (source link)

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