Tether Minted $1B USDT For ‘Inventory Replenish’ Christmas Day
The post Tether Minted $1B USDT For ‘Inventory Replenish’ Christmas Day appeared on BitcoinEthereumNews.com.
Tether Treasury minted another one billion “authorized but not issued” USDT on Christmas Day, triggering some skepticism from the community. Tether, the operator of the world’s largest stablecoin, USDT, has minted another billion USDT, which is “authorized but not issued,” according to CEO Paolo Ardoino. Blockchain tracking platform Whale Alert took to X (formerly Twitter) on Dec. 25 to alert users that Tether Treasury had minted one billion USDT ($1 billion). 💵 💵 💵 💵 💵 💵 💵 💵 💵 💵 1,000,000,000 #USDT (1,001,100,000 USD) minted at Tether Treasuryhttps://t.co/i3Dqn5tSA6 — Whale Alert (@whale_alert) December 25, 2023 Tether CEO Ardoino subsequently responded with a public service announcement in the Whale Alert’s X thread, stating that the transaction was an “inventory replenish” on the Ethereum blockchain. “Note this is an authorized but not issued transaction, meaning that this amount will be used as inventory for next period issuance requests and chain swaps,” Ardoino stated. In traditional finance, inventory replenishment is the process of ordering stock from suppliers in time to meet customer demand and avoid stock shortages without stockpiling surplus inventory. USDT Minted In Tether’s terms, inventory replenishment is the process of creating new USDT that are stored in Tether’s treasury inventory as “authorized but not issued” USDT. “These tokens are not part of the total market capitalization of USDT, as they have not been issued or released into circulation yet,” Tether’s FAQ reads. According to data from the Tether Transparency page, $925 million in USDT is “authorized but not issued” on Ethereum as of Dec. 26, 2023. See Also: Bitcoin ETF Does Not Give Access to Actual Bitcoin – Keiser Ardoino’s latest PSA echoes the language of a previous one billion USDT mint in September 2023, when Whale Alert flagged a similar transaction. On that occasion, Ardoino also said that…
Filed under: News - @ December 28, 2023 3:18 am