CoinShares Head of Research: Market concerns about Tether "seem unfounded," current data does not show systemic vulnerabilities

On December 6, concerns about the financial status of stablecoin issuer Tether resurfaced this week. The trigger was CEX founder Arthur Hayes warning that the company could face a severe crisis if the value of its reserve assets drops. However, CoinShares Head of Research James Butterfill refuted these claims. In a market update report on December 5, James Butterfill stated that concerns over Tether’s solvency “seem unfounded.” He pointed out that, according to Tether’s latest audit report, the company holds $181 billion in reserve assets, with liabilities of about $174.45 billion, resulting in a surplus of nearly $6.8 billion. “While the risks associated with stablecoins should not be entirely ignored, current data does not indicate any systemic vulnerabilities.” Tether remains one of the most profitable companies in the sector, generating $10 billion in profit in the first three quarters of this year.