Tether CEO Slams S&P and Influencers After USDT Downgrade
S&P’s recent downgrade of USDT’s peg stability flagged Tether’s holdings of Bitcoin and gold as a central concern, arguing that those assets could undermine redeemability and price stability under stress. In response, Tether’s CEO blasted both the rating agency and influencers spreading alarm on social channels, calling much of the commentary “FUD” and defending the company’s reserve practices.
The dispute matters because perceptions of reserve quality and liquidity directly affect market confidence in stablecoins and can drive short-term volatility across crypto markets. Market participants and regulators will likely watch Tether’s disclosures and any follow-up from S&P for signs of increased oversight or shifts in redemption policy. For traders and holders of USDT, clarity on reserve composition and liquidity remains the key indicator to monitor going forward.