coinedition.com
The price of the most significant stablecoin in the crypto industry, USDT, momentarily slipped by a minuscule percentage creating another round of fear, uncertainty, and doubt.
Paolo Ardoino, the chief technology officer (CTO) of the largest stablecoin issuer, Tether, declared on Twitter that the firm had processed over $700 million USDT in redemptions in the last 24 hours.
#tether processed ~700M redemptions in last 24h.
— Paolo Ardoino 🍐 (@paoloardoino) November 10, 2022
No issues.
We keep going.
This unusually high volume of stablecoin swaps may be due to the current bleeding trend in the crypto market as retail investors hasten to cut down losses from the volatile digital asset market. Specifically, Tether’s CTO noted no cause for alarm as the company has enough reserve to cover USDT swaps. Currently, USDT maintains its usual price of $0.9998.
Additionally, there are allegations that Alameda, a leading principal trading firm, has continually used USDT for arbitrage purposes. HsakaTrades, a crypto enthusiast with a significant following on Twitter, alleged that Alameda was trying to initiate a USDT de-peg.
alameda trying to initiate a usdt depeg with a smol 250k onchain visible tx that will generate fear
— Hsaka (@HsakaTrades) November 10, 2022
usdt pairs start rising
solusdt perps that had been giga shorted squeeze
alameda owns a lot of sol
sell post squeeze, usdt recovers, profit?
ALL SPECULATION. I AM A CLUELESS WOLF https://t.co/tNoocbUnzO
Previously, speculations broke that the KuCoin exchange suffered from a possible shortage of stablecoin funds in the light of a $300 million withdrawal. Further data from analytic firm Nansen proved that KuCoin appeared to be the most withdrawn exchange, even more than the embattled FTX.
However, upon further inspection of on-chain data, it became clear that the exchange only moved $300 million worth of USDT from the Ethereum network to the Tron blockchain. Alicia Schulhof, KuCoin’s managing director, expressed contempt at the misinformation shared about the exchange in the crypto community.