Whales Sell Popular Altcoin Project and Buy From The Two!

Altcoin: The continued reluctance towards Tether (USDT), the largest stablecoin and an altcoin, appears to have spread to the largest wallets, according to new data. Here are the details…

Whales sell USDT and buy from these altcoin projects

Data from blockchain analytics firm Santiment shows addresses holding between 100,000 and 10 million USDT are near three-year lows in terms of retained supply. The trend is emerging as the number of traders selling USDT for other stablecoins such as USDC and DAI is increasing. This also caused the DeFi platform Curve to have a severe USDT imbalance in its liquidity pool. Because more and more traders exchanged the coin for other tokens. About 63 percent of Curve’s 3 pools are USDT. So, roughly $630 million.

The decline in the number of large accounts holding USDT indicates that some traders have lost faith in the token. Repeated dumping of stablecoin can put pressure on Tether’s payment mechanism. It could possibly unstabilize the token. USDT has been trading at a marginal discount from its fixed price of $1 for nearly two months since the Terra crash. Tether has shown a steady redemption of nearly $20 billion worth of tokens over the past two months. He is also confident his reserves can handle further selling pressure.

Uncertainty over Tether reserves

Much of the selling pressure on USDT this year is due to uncertainty over the nature of its reserves. Tether claims its reserves are overseen by a Cayman Islands-based organization. However, some investors have called for a more comprehensive breakdown of their holdings. Data from Tether shows that 85 percent of its reserves are made up of cash and commercial papers, including US Treasuries. However, investors are trying to clarify the non-US commercial documents held by the firm.

Tether After UNA and Waves: USDT Depegging!

As of Tether’s last audit, the firm holds roughly $20 billion worth of commercial documents, most of which are rated investment grade. But it is not clear who made them. AmkNews.com As we have also reported, USDT is a stablecoin issued by Tether that reflects the price of the US dollar. The US dollar constant of the token is an amount of commercial paper in USD value equal to the number of USDT in circulation; fiduciary deposits, cash, reserve repo notes and treasury bills are maintained in reserves.

It was originally launched in July 2014 as Realcoin, a second-layer cryptocurrency built on top of the Bitcoin Blockchain with the use of the Omni platform. It was later renamed USTether and finally USDT. In addition to the Bitcoin network, USDT was later updated to run on Ethereum, EOS, Tron, Algorand and OMG Blockchains.

Disclaimer: The articles and articles on AmkNews do not constitute investment advice. AmkNews.com does not recommend buying or selling any cryptocurrencies or digital assets, nor is AmkNews an investment advisor. For this reason, AmkNews and the authors of the articles on the site cannot be held responsible for your investment decisions. Readers should do their own research before taking any action regarding the company, asset or service in this article.

Warning: Citing the news content of AmkNews and quoting by giving a link is subject to the permission of AmkNews. No content on the site can be copied, reproduced or published on any platform without permission. Legal action will be taken against those who use the code, design, text, graphics and all other content of AmkNews in violation of intellectual property law and relevant legislation.

Larry Brown

I graduated from Yale University, Department of Television. I have been a professional news writer for 3 years. I am continuing my career here by establishing amknews.com site 3 months ago.