Arthur Hayes, founder of BitMEX, said the latest audit suggests Tether is effectively betting on imminent Fed rate cuts, which would erode its interest income. In response, Tether has increased its holdings of gold and Bitcoin to hedge against a “falling price of money.” Hayes noted that a roughly 30% drop in this gold–BTC portfolio would wipe out Tether’s equity, putting USDT theoretically at risk of insolvency. He added that major holders and exchanges are likely to demand real-time visibility into Tether’s balance sheet
- 0 replies
- 0 recasts
- 0 reactions
BitMEX co-founder Arthur Hayes reaffirmed his year-end $250,000 Bitcoin target, saying on this week's "Milk Road Show" that last week’s dip to $80,600 marked the cycle bottom and the subsequent rebound supports that view. He added that much of the inflow into BlackRock's IBIT was "basis trade" capital and that institutional deleveraging is largely complete; with USD liquidity bottoming, quantitative tightening ending and rate-cut expectations rising, he expects the next leg higher to follow.
- 0 replies
- 0 recasts
- 0 reactions
Good morning
- 0 replies
- 0 recasts
- 0 reactions