{"id":309887,"date":"2021-07-28T05:42:20","date_gmt":"2021-07-28T02:42:20","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/regulators-scrutinizing-tethers-commercial-paper-reserves-comptroller-of-the-currency\/"},"modified":"2021-07-28T05:42:20","modified_gmt":"2021-07-28T02:42:20","slug":"regulators-scrutinizing-tethers-commercial-paper-reserves-comptroller-of-the-currency","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/regulators-scrutinizing-tethers-commercial-paper-reserves-comptroller-of-the-currency\/","title":{"rendered":"# Regulators scrutinizing Tether&#8217;s commercial paper reserves: Comptroller of the Currency"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3df60512134\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3df60512134\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/regulators-scrutinizing-tethers-commercial-paper-reserves-comptroller-of-the-currency\/#Shadowy_super-coders\" >Shadowy super-coders<\/a><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong># Regulators scrutinizing Tether&#8217;s commercial paper reserves: Comptroller of the Currency  <\/strong>&#8221;<br \/>\n<img decoding=\"async\" src=\"https:\/\/images.cointelegraph.com\/images\/840_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjEtMDcvYmY0Y2MzYWQtZThlZC00MDk3LWJjMzktMjhjN2VjMTE1NWY4LmpwZw==.jpg\" \/><\/p>\n<div class=\"post-content\" data-v-128018ef>The firm behind the world\u2019s leading stablecoin, Tether, is facing more regulatory pressure this week with U.S. financial watchdogs scrutinizing the composition of its reserves.<\/p>\n<p>According to a July 27 Bloomberg<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.bloomberg.com\/news\/articles\/2021-07-27\/tether-facebook-coin-spur-worry-at-yellen-s-closed-door-meeting\"> report<\/a> the Acting Comptroller of the Currency Michael Hsu said regulators are looking into Tether\u2019s stockpile of commercial paper to see whether each USDT token really is backed by the equivalent of one U.S. dollar. <\/p>\n<p>A team of regulators led by Treasury Secretary Janet Yellen has held a high-level, closed-door talk on the risks posed by stablecoins and particularly Tether. Citing \u201cpeople familiar with the matter\u201d, the report stated the President\u2019s Working Group on Financial Markets was concerned about Tether\u2019s claims that it holds massive amounts of commercial paper. This investment type relates to debts that companies issue to meet their short-term funding needs.<\/p>\n<p>The group compared the situation to an unregulated money market mutual fund that could be susceptible to an exodus of investors. The current circulating supply of USDT is 62 billion according to its transparency <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/wallet.tether.to\/transparency\">report<\/a>. <\/p>\n<p>In mid-May, Tether revealed a loose breakdown of its reserves stating that it had invested in instruments beyond cash and cash equivalents, including Bitcoin, bonds, secured loans, and a large proportion of commercial paper. In an interview with CNBC on July 21, Tether <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/general\/\" data-internallinksmanager029f6b8e52c=\"3\" title=\"General\" target=\"_blank\" rel=\"noopener\">general<\/a> counsel Stuart Hoegner promised that a full financial audit of its reserves would be coming within months, not years.<\/p>\n<p><strong><em>Related:<\/em><\/strong><em> <\/em><em>Stablecoins under scrutiny: USDT stands by \u2018commercial paper\u2019 tether<\/em><\/p>\n<p>On July 19, Yellen urged agency lawmakers to \u201cact quickly\u201d to ensure stablecoins face <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>ropriate rules, and a regulatory framework for them is formulated. <\/p>\n<h3><span class=\"ez-toc-section\" id=\"Shadowy_super-coders\"><\/span>Shadowy super-coders<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>On July 27, crypto cynic Senator Elizabeth Warren sent a letter to Janet Yellen asking for greater regulation of the crypto industry. At a<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.banking.senate.gov\/hearings\/cryptocurrencies-what-are-they-good-for\"> hearing<\/a> of the Senate Banking Committee, Warren again expressed her opposition to crypto:<\/p>\n<blockquote><p>\u201cInstead of leaving our financial system at the whims of giant banks, crypto puts the system at the whims of some shadowy, faceless group of super-coders and miners, which doesn\u2019t sound better to me.\u201d<\/p><\/blockquote>\n<p>Partner at Anderson Kill Law, Preston Byrne,<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/prestonjbyrne\/status\/1420094738540150791\"> commented<\/a> that \u201cthe far more frightening reality here is that the financial system is in the hands of Elizabeth Warren.\u201d<\/p>\n<\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/regulators-scrutinizing-tether-s-commercial-paper-reserves-comptroller-of-the-currency\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# Regulators scrutinizing Tether&#8217;s commercial paper reserves: Comptroller of the Currency &#8221; The firm behind the world\u2019s leading stablecoin, Tether, is facing more regulatory pressure this week with U.S. financial watchdogs scrutinizing the composition of its reserves. According to a July 27 Bloomberg report the Acting Comptroller of the Currency Michael Hsu said regulators are&#8230;<\/p>\n","protected":false},"author":1,"featured_media":309888,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjEtMDcvYmY0Y2MzYWQtZThlZC00MDk3LWJjMzktMjhjN2VjMTE1NWY4LmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[70934,36041],"class_list":["post-309887","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-regulation","tag-tether"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/309887","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=309887"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/309887\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/309888"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=309887"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=309887"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=309887"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}