S&P Global: Downgrades USDT's ability to be pegged to the US dollar to the lowest rating.
SP Global Ratings has downgraded Tether's USDT stablecoin's ability to maintain its peg to the US dollar to the lowest rating and warned that a decline in Bitcoin prices could lead to undercollateralization risks for the stablecoin.
On Wednesday, the rating agency's analysts downgraded USDT's stability rating from "Limited" to "Weak." SP stated that this assessment "reflects the increased exposure to high-risk assets in USDT's reserves over the past year," including Bitcoin, gold, secured loans, and corporate bonds, while also considering the limited disclosure of information.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Deciphering the Recent Spike in Trading Volume on DASH Aster DEX
- DASH Aster DEX surged to $1.399B TVL and $27.7B daily volume in 2025 via hybrid AMM-CEX model and AI liquidity routing. - Cross-chain migrations and BNB Chain dominance (20-40% perpetual futures share) drove institutional adoption through ZKP-enabled scalability. - 2M+ users and 330K wallets created post-TGE reflect shifting DeFi 2.0 behavior, with RWA integrations bridging traditional and crypto markets. - $2.5B wash trading concerns and U.S. regulatory scrutiny persist, but tokenomics (annual burns, st
DeFi Faces a Crisis of Confidence: Token Examination, Tether’s Rating Cut, and Intensified SEC Crackdowns Converge
- Edel Finance's token launch faces scrutiny as 160 linked wallets allegedly acquired 30% of its supply pre-launch, triggering a 62% price drop. - Tether's S&P downgrade to "weak" highlights risks from $12.9B gold and $9.9B bitcoin reserves, with gold holdings rivaling central banks. - SEC intensifies oversight, fining Yida Gao $4M for crypto fund misrepresentation while exchanges warn against crypto exemptions. - DeFi projects like World Liberty Financial spend $10M on token buybacks, yet WLFI remains dow
The Recent Rise in Astar (ASTR) Value: Unveiling the Driving Forces Behind the Latest Surge
- Astar (ASTR) price surge driven by institutional adoption, robust on-chain metrics, and cross-chain innovation, with TVL rising to $2.38M in Q3 2025. - Astar 2.0's 150,000 TPS throughput and dynamic tokenomics (4.32% inflation) attract institutional investors seeking scalable, stable blockchain solutions. - Partnerships with Sony , Toyota , and others validate Astar's enterprise-grade infrastructure, aligning with crypto-traditional finance convergence trends. - Projected $0.80–$1.20 price target by 2030
Hayes Focuses on High-Yield DeFi Initiatives Amid Growing Institutional Interest
- Arthur Hayes acquired 2.01M ENA , 218K PENDLE, and 33K ETHFI tokens via Cumberland, totaling $1.42M in DeFi projects focused on yield optimization and automated market-making. - The purchases highlight growing institutional interest in DeFi protocols offering structured products and tokenized derivatives, with ENA and PENDLE leading in governance and yield strategies. - Hayes's strategy aligns with leveraging on-chain data to target undervalued assets, potentially amplifying market sentiment but exposing
Trending news
MoreCrypto prices
More
