The largest stablecoin in the cryptocurrency world scared the already panicked market when it lost its dollar-pegged value. It fell to $0.9455 cents. However, it has now recovered to trade at the price of $0.993, at press time.
Meanwhile, the Tether organization has issued a statement during the recovery.
USDT recovers to $1
The message stated that they have provided stability amid some expected market panic. Tether has maintained the redemption normally. The verified customers have been able to exchange USDT on the platform for $1. It added that Tether has allowed more than 300 million USDT redemptions in the past 24 hours. While today it still processes more than 2 billion and that too without any problem.
USDT is still down 0.45% in the past 24 hours. However, 24-hour trading volume is up 10% to $171.05 billion. Tether claimed that they have managed to maintain stability in the much volatile market and have proven to provide service to all of its customers.
Tether CTO Suggests LUNA Crash
In an interview with Scott Melker, Paolo Ardoino, Tether CTO answered some questions about the USDT’s ongoing problems and de-pegging.
Ardoino said their portfolio is extremely solid and de-pegging will not happen. People can redeem it anytime. we never refuse a single redemption in the history of the Tether.
He said they do a weekly stress test. It also includes data from the 2008 crisis making them ready for any situation.
When asked about recovery from the LUNA crash, he said it is a tough decision. I think if they are able to explain what happened and regain confidence in the market they should grow organically and slowly.
Ashish believes in decentralization and has a keen interest in evolving Blockchain technology, the cryptocurrency ecosystem and NFTs. He aims to create awareness around the growing Crypto industry through his writings and analysis. When he’s not writing, he plays video games, watches a thriller, or works out outside. Reach me at [email protected]
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This post Tether (USDT) Close To Peg Recovery Despite Rising Redemptions
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