According to the Wall Street Journal Tether (USDT), It uses Cantor Fitzgerald to manage more than half of the $67 billion in bonds, cash and credit that backs its stablecoin.
One of the Wall Street Giants Turned Out to be Working with Tether
Cantor Fitzgerald, a privately held firm and led by Howard Lutnick, is among Wall Street’s best-known bond-traders and is one of the 25 top sellers for U.S. Treasuries that allows direct trading with the Fed.
Earlier this week, Tether reported $67 billion in assets at the end of 2022, of which $39.2 billion was in U.S. Treasury bonds. The rest of the assets were in money market funds, cash and other items.
According to the WSJ report, Cantor manages a $39 billion bond portfolio for the stablecoin issuer.
Tether has faced scrutiny and paid fines for how it manages and says about the underlying assets of USDT. The company tried to clear up questions about its assets by issuing reports from accounting firms.
One source told the Wall Street Journal that Tether began moving its reserves to this Wall Street brokerage in late 2021, around the time it reached an agreement with a regulator.
This development is the result of some firms on Wall Street. cryptocurrency It is an indication that their companies are willing to leave behind the regulatory and managerial concerns that characterize the crypto space for a chance to manage some of the billions of dollars in assets they have amassed.
Cantor, a private global financial firm, one of the biggest brokers for Wall Street investors, has been involved in crypto for years. The firm announced in 2017 that it would offer futures contracts tied to the price of Bitcoin on a small futures exchange it operates.
*Not investment advice.
For exclusive news, analytics and on-chain data Telegram our group, twitter our account and YouTube Follow our channel now! Moreover Android And iOS Start live price tracking right now by downloading our apps!