Tether Issued $11.6 Billion Of Loans In 2019-May 2021

According to the latest reports, it looks like Tether has issued $11.6 billion in loans between 2019 and May of 2021. Check out the latest details that have been revealed below.

According to legal settlement documents released this week by the New York Attorney General, Stablecoin issuer Tether provided $11.6 billion in collateralized loans between June 2019 and May 2021.

Out of the 694 loans, 89% of the total amount was issued with Bitcoin as collateral, while 9% had ether as collateral. Tether Gold (XAUT) and unnamed securities made up the remaining 2%. Tether received a cumulative total of 450,000 BTC in collateral and 1.1 million ETH.

As the online publication the Daily Hodl notes, the documents also show that $8 billion of loans were repaid during that period.

Tether’s chief technology officer, Paolo Ardoino, said recently that the firm had no exposure to Signature Bank, directly or indirectly, despite a recent article by Bloomberg claiming that Tether used the bank to find its path into the US financial system.

“As I stated on 12th of March 2023, Tether didn’t have any direct or indirect exposure to Signature. Good risk management where everyone failed…”

He continued and stated the following:

“I stand by my point about exposure. TradFi [traditional finance] guys annoyed Tether doesn’t blindly trust banks…”

According to the latest reports coming from the online publication the Daily Hodl, some anonymous sources familiar with the matter detailed to Bloomberg how Tether struck a deal with Signature Bank to find its way into the US banking system.

Alma Angotti, a former high-ranking member of the U.S. Securities and Exchange Commission (SEC), tells Bloomberg that if Signature Bank knew about and approved the deal, this could mean the bank was willing to take risks.

“They may well have known and decided this is less risky than opening up an account for Tether directly.”