Crypto Biz: You can’t stop the Tether FUD

cointelegraph.com:

In the world of crypto, FUD stands for fear, uncertainty and doubt. It’s often evoked intentionally to draw negative attention to a particular project or business. One of crypto’s most enduring legacies has been the constant FUD surrounding Tether, whose USDT stablecoin commands a market capitalization of nearly $68 billion. Whether intentional or not, The Wall Street Journal ran a story this week claiming that Tether was on the edge of technical insolvency and that it wouldn’t take much to push the stablecoin issuer into financial peril. Of course, Tether didn’t take it lying down and immediately issued a response to what it considered to be a “disinformation” campaign by the Journal. 

Regardless of which side of the debate you’re on, it’s becoming clear that there is a strong media bias against Tether. In fact, the Journal ran a story a few months ago claiming that more hedge funds were betting against the stablecoin around the same time that the crypto market as a whole was plunging.

This week’s Crypto Biz newsletter dissects the Tether controversy and gives you the latest information on the state of venture capital and nonfungible tokens (NFTs).

In an article published on Saturday, The Wall Street Journal claimed that even a 0.3% decline in Tether’s assets could deem the stablecoin issuer “technically insolvent.” The Journal was referring to Tether’s most recent disclosure on its website, which showed that assets only narrowly exceeded its liabilities. Tether clapped back and accused the Journal of engaging in unnecessary FUD. “The article seeks to discredit the work that Tether has put into transparent and honest communication to the public,” Tether said. “Perhaps the WSJ has confused Tether with some of its