Tether, the largest stablecoin of the crypto money industry, has experienced activity today.
Millions of Tether (USDT) were sold on popular Uniswap and Curve pools this morning. This led to early signs of anxiety among traders.
Because USDT balances in Curve protocol's stablecoin swap pool 3pool, consisting of USDT, USD Coin (USDC) and DAI, jumped over 72% earlier this morning.
Under normal circumstances, Curve 3Pool's ideal percentage of USDT, USDC and DAI should be 33.33% each, but USDT's balance is over 70%.
This means that investors are selling a lot of USDT for DAI or USDC. This also caused the USDT peg to drop from $1 to $0.997.
Tether CTO Paolo Arduino confirmed the USDT sale on his Twitter account, claiming that some investors were impressed by the general selling sentiment in the crypto market, which has been on the decline in the last 24 hours:
“The markets are tense these days, so it's easy for attackers to take advantage of this general sentiment.
But at Tether we are ready as always. Let them come. We are ready to use any amount."
Markets are edgy in these days, so it's easy for attackers to capitalize on this general sentiment.
But at Tether we're ready as always. Let them come.
We're ready to redeem any amount.— Paolo Ardoino 🍐 (@paoloardoino) June 15, 2023
Tether CTO also told The Block, "Recent market events are pushing large investors to exit the crypto markets. Tether is a gateway for inbound and outbound liquidity. So, when interest in crypto increases, we see entries; when the sentiment in the crypto market is negative. "We cannot exclude a direct attack on Tether, as we saw in 2022." said.
*Not investment advice.
