Cryptocurrency hedge funds are actively betting against tether (USDT) as the market has barely recovered from the UST drama. According to The Wall Street Journal (WSJ), traditional hedge funds with "hundreds of millions" have increased shorting USDT recently.
Subscribe to our Telegram channel to get daily short digests about events that shape the crypto world
Genesis's Head of Institutional Sales, Leon Marshall, told the WSJ that there has been a "real spike in the interest from traditional hedge funds who are taking a look at tether and looking to short it." He declined to elaborate on the matter though.
As of press time, USDT's market capitalization is at $66.8 billion, which makes Tether the largest stablecoin issuer on the market. Earlier in May, USDT plunged for a moment to $0.97 as Terra's algorithmic stablecoin terraUSD (UST) lost 100%.
Access more than 50 of the world's financial markets directly from your EXANTE account – including NASDAQ, London Stock Exchange and Tokyo Stock Exchange