Stablecoin issuer Tether has become one of the world’s top buyers of United States Treasury bills, according to Tether chief technology officer Paolo Ardoino.
In a social media post, Ardoino highlighted that Tether currently has an exposure of $72.5 billion in Treasury bills. The amount places the stablecoin issuer among the top 22 holders, ranking above many countries, including Spain, Mexico, Australia and the United Arab Emirates, he said.
While @Tether_to reached 72.5B exposure in US t-bills, being top 22 buyer globally, above United Arab Emirates, Mexico, Australia, Spain, …$USDt is the most used stablecoin in the world, with a huge focus on emerging markets. For many of these communities USDt is a lifeline… https://t.co/7hC12Nhzdq
— Paolo Ardoino (@paoloardoino) September 5, 2023
Ardoino believes this development demonstrates the relevance of USDT (USDT) in various emerging markets across the globe. According to him, USDT is providing communities a “lifeline to protect themselves” against the rampant inflation in their national currencies.
The executive’s sentiments came in response to another social media post highlighting the lowering rate of China’s ownership of U.S. T-bills. According to the report, China is getting out of U.S. debt and is moving its funds into gold.
Tether’s ownership of billions worth of T-bills was also reported by the company earlier this year. On July 31, the company released a reserves attestation for USDT stating it holds up to $3.3 billion in excess reserves for its stablecoin.
Meanwhile, Tether continues to try to expand its reach. On Aug. 29, it added a private bank in the Bahamas called Britannia Bank & Trust as a partner to process dollar transfers within its platform. The company joins Tether’s roster of banking partners, which include Deltec Bank and Capital Union Bank.