Stablecoin issuer Tether has become one of the top buyers of United States Treasury bills in the world, according to a post by Tether CTO Paolo Ardoino.
In a social media post, Ardoino highlighted that Tether currently has an exposure of $72.5 billion in US T-bills. The amount places the stablecoin issuer in the top 22 of US T-bills holders, ranking above many countries like Spain, Mexico, Australia and the United Arab Emirates, he said.
While @Tether_to reached 72.5B exposure in US t-bills, being top 22 buyer globally, above United Arab Emirates, Mexico, Australia, Spain, …$USDt is the most used stablecoin in the world, with a huge focus on emerging markets. For many of these communities USDt is a lifeline… https://t.co/7hC12Nhzdq
— Paolo Ardoino (@paoloardoino) September 5, 2023
Ardoino believes that this development demonstrates the relevance of USDT (USDT) in various emerging markets across the globe. According to the Tether executive, USDT is providing communities a “lifeline to protect themselves” against the rampant inflation in their national currencies.
The executive’s sentiments were a response to another social media post that highlighted the lowering rate of China’s ownership of US T-bills. According to the report, China is getting out of US debt and is moving its funds into gold.
Tether’s ownership of billions worth of US T-bills was also reported by the company earlier this year. On July 31, the company released a reserves attestation for USDT. According to the report, Tether holds up to $3.3 billion in excess reserves for its stablecoin.
Meanwhile, the stablecoin issuer is also continuously trying to expand its reach. On Aug. 29, the USDT issuer added a private bank in the Bahamas called Britannia Bank & Trust as a partner, to process dollar transfers within its platform. The company joins Tether’s roster of banking partners which include Deltec Bank and Capital Union Bank.