The Tether company appears to be serious about decreasing the supply of stablecoins following a period of volatility that saw the USDT token failing to maintain its dollar peg. After withdrawing more than 966 million tokens from circulation, the treasury sent the USDT back to the minting wallet. In this transaction, 500 million USDT were destroyed.

On October 24, Tether tweeted it was “redeeming” 500 million USDT by destroying the coins. Since all USDT are allegedly backed by dollars in a bank, the Tether company should, in theory, have freed up $500 million:

https://twitter.com/Tether_to/status/1055139613000507392

However, Tether lists its assets as $2 billion, which matches the new, lower circulation….

This article appeared first on Cryptovest

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