• NOW

Tether Back in the Printing Business With Massive $300 Million Batch

After over a month of absence Tether has returned to the USDT printing business, issuing $300 million worth in just one massive batch. The proximity of the move to the recent reversal of the downtrend in the market has lead to renewed calls by critics that Tether is manipulating prices.  

Also Read: Survey Says 8% of the American Population Now Own Cryptocurrency

$300 Million USDT

Tether Back in the Printing Business With Massive $300 Million BatchOmni blockchain transaction data reveals that Tether has created $300 million worth of new USDT tokens. Like with previous printing sprees by Tether, the lack of transparency behind the operations of the stablecoin has caused critics to suggest some kind of foul play was behind the massive new grant.

The last time Tether was found to be actively printing was in Mid February, and since then it let its metaphorical printers a rest. As the past month wasn’t the best performing to say the least, some people linked that with Tether not propping up prices. And as the prices recovered around the same time the new $300 million USDT grant was issued, it seems to confirm for these critics their concern.

Tether Back in the Printing Business With Massive $300 Million Batch

Who Is Leading the Markets?

Tether Back in the Printing Business With Massive $300 Million BatchWhile this new printing’s supposed link to the price recovery is anecdotal and coincidental, it does seem to have an effect on traders’ behavior. The news was quickly circulated in various traders’ forums such as pump and dump groups on Telegram, where people seem to have taken it as if Tether has placed a floor on the price of bitcoin – reacting the same way FX traders would to a central bank setting a minimum acceptable exchange rate for its currency and defending it by open market actions. This by itself can act as a self-fulfilling prophecy.

A research that was published earlier this year found little real statistical evidence that USDT printing is correlated with the price of bitcoin. However, Tether is fueling the speculations around its actions by its continued secrecy. Outside observers can only try to track down the banks that the company must use to hold incredible amounts of USD to back its USDT on a 1:1 basis. It has also lead to exchanges turning to competing stablecoins.

Are tether printing $300 million and the recent bitcoin price reversal linked? Share your thoughts in the comments section below!

Images courtesy of Shutterstock.

Do you like to research and read about Bitcoin technology? Check out Bitcoin.com’s Wiki page for an in-depth look at Bitcoin’s innovative technology and interesting history.

Tags in this story
N-Featured, Printing, Stablecoin, Tether, Tether (USDT), USD, USDT, USDT Exchanges
Ethereum's Wrapped Bitcoin Set to Eclipse Lightning Network Capacity

Since the project launched a little over six months ago, Wrapped Bitcoin (WBTC) has roughly $5.9 million or 558 BTC… read more.

Government Officials Already Hate Facebucks

The best thing about Facebook’s proposed digital currency isn’t its BTF consensus algorithm, account-based data model or single Merkle tree… read more.

Avi Mizrahi

Avi Mizrahi is an economist and entrepreneur who has been covering Bitcoin as a journalist since 2013. He has spoken about the promise of cryptocurrency and blockchain technology at numerous financial conferences around the world, from London to Hong-Kong.