Tether Deal With New York State Brings Quick Reversal of Crypto-Market Sell-Off
The settlement appears to remove what might have been a systemic threat to cryptocurrency markets.
The new composition report is part of Tether’s efforts to stay in compliance with a settlement with the New York Attorney General.
But the impact on the market may be little.
New research from blockchain analytics firm Elliptic asks whether zkSNACKs, the firm behind bitcoin privacy wallet Wasabi, is turning a blind eye to stolen coins.
The report is similar to those produced by other stablecoin issuers like Centre or Paxos.
The integration will let investors make deposits and withdrawals more quickly, as well as mitigate counterparty risk.
"If any issues arise that could affect the willingness or ability of both domestic and foreign investors to use USDT, the most likely result would be a severe liquidity shock to the broader cryptocurrency market," the report says.