USDT Reserves Were Backed by Chinese Bonds in 2021
Main page News, China, Stablecoins

Bonds issued by the ICBC, China Construction Bank and Agricultural Bank of China acted as collateral for Tether's stablecoin USDT in March 2021, according to documents filed by NYAG, Bloomberg has reported.

These documents refer to individual instruments, but do not indicate at what point in time the company held them. The securities mature in 2020 and 2021.

According to the documents, Tether also owned bonds issued by Deutsche Bank, Barclays Bank, ArcelorMittal and other companies.

During the specified period, the issuer provided loans of $5.1 billion to at least 30 organizations secured by Bitcoin, Ethereum and securities.

The agency has recalled its investigation in October 2021. Then, reporters discovered that the stablecoin’s reserves include short-term loans to large Chinese organizations and loans to landing platforms like Celsius Network.

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