December 9, 2022

Diary of a Madman. Part twenty. Bitcoin - Tether - US bonds.

an investigation has now begun against the stablecoin Theter for providing false information and organizing a bitcoin pump, at the moment it iscan lead to problems for Tether, and Tether now has $28.85 billion in US bonds, so according to Theter's rules, with a decrease in the value of bitcoin, Tether must reduce its share of US bonds. The ratio of Tether US bonds to equity is 43.5%. a decrease in bitcoin by 10% will lead to the sale of 4.35% of their bonds or $126 million (wrong, 4.35% was calculated incorrectly, it must be calculated from the total capital of $66.5 billion, therefore $290 million and the dependence is linear). These calculations are very approximate, I wanted to show that changes in the bitcoin rate affect the US bond rate and, ultimately, the dollar. There are other stablecoins, but the scheme of operation is the same as that of Tether, most of the assets are in US bonds, which means that the impact of Bitcoin on bonds is even higher. On the other hand, Tether has $66.5 billion in assets, and Tether provides about the same amount of USDT in trading, and the boo report says that there is no bubble in Tether (the available capital is approximately equal to all USDT in circulation). There is a simple, very light effect on US bonds and the dollar.

Reporting for 06/30/2022 by Tether on the state of capital.
Diary of a Madman. Part twenty. Bitcoin - Tether - US bonds.

Maybe I'm wrong. something I got confused in the layouts. I'm leaving this post here so I don't have to look it up later.