The issuers of the two largest stablecoins, Tether and Circle, have distanced themselves from the FTX situation, saying they are not impacting struggling cryptocurrency exchanges and Alameda Research.
tether keeps itself away
Paolo Ardoino, CTO of Tether, said in response to Wu Blockchain’s tweet that the USDT issuer is not involved with FTX or Alameda.
For clarification: #tether We have no exposure to FTX or Alameda. 0. Null.
Maybe it’s time to look elsewhere.
very sorry. Retry. https://t.co/1bRNUGrttr— Paolo Ardoino 🍐 (@paoloardoino) November 9, 2022
Ardoino said Alameda has issued and redeemed a large amount of USDT in the past, but the stablecoin issuer does not have mature credit exposure in struggling cryptocurrency exchanges.
he added:
“Tether will be issued and redeemed according to customer market demands.”
Circle is also not exposed to Alameda
Circle co-founder and CEO Jeremy Allaire also posted: A thread explaining the relationship between FTX and Circle To eliminate anxiety and uncertainty among market participants.
gm
1/ There’s a lot of FUD going on there, so another thread to help clear the noise.
— Jeremy Allaire (@jerallaire) November 9, 2022
He said FTX has been a Circle Payments API customer for 18 months, and Alameda has been using Circle for years to create and exchange USDC.
“Circle has never loaned to FTX or Alameda, has never received FTT as collateral, and has never held or traded in FTT. there is no.”
He added that Circle has a small stake in FTX, as do other exchanges including Kraken, BinanceUS, and Coinbase, while FTX also has a small stake in Circle. rice field.
In response to Alameda Research’s move of millions of USDC to FTX over the past few days, Allaire said that trades are based on settlement terms and an “automated system of one-to-one dollar settlements to create USDC and redeem USDC.” claimed to be in line with
He also spoke about the FUD on Silvergate, saying the bank is just one of more than 10 banks worldwide holding USDC cash reserves. About 80% of Circle’s assets are in U.S. Treasury securities within his three months in the United States and are held in BNYM.
