Is it time to buy the bottom? Tether has added 60 million USDT inventory
The price of Bitcoin has fallen by 17.16% in the past two days, shocking the entire market, but at the same time as the cryptocurrency market has fallen, the stock market has also fallen sharply. Most cryptocurrency users see the drop in Bitcoin as a buying opportunity, and we have seen Tether Treasury issue an additional 60 million USDT.
According to Whale Alert, a large-scale crypto trading real-time tracking agency, Tether Treasury added approximately 60 million USDT on the Ethereum blockchain at 12:33 UTC. Here are the transaction details:
Paolo Ardoino, CTO of Bitfinex and Tether, said it was a "stock replenishment." He stated in the comments:
"Public statement: This is an inventory replenishment. Please note that this is an authorized but unissued transaction, which means this amount will be used as inventory for the next issue request."
However, the crypto community cannot ignore this and quickly comment on the matter:
Very punctual. As at other times, Tether's "dad" saved Bitcoin once more. "
Another Twitter user compared Bitcoin's plunge price to the 2008 financial crisis and said Tether's additional offering was a "cryptographic version of the Federal Reserve rescue plan" and "wait and see."
After adding 60 million USDT, 35 million of them were transferred from Tether Treasury to their exchange wallets for reallocation to other exchanges such as Binance, Huobi and OKEx.
Despite the addition of USDT, as of press time, the value of BTC was around $ 7,800 and still showed red (down).
When asked to comment on the matter, a spokesperson for Bitfinex highlighted the difference between what CTO Ardoino referred to as issued transactions and authorized transactions. The statement, referring to Tether's transparency page, said:
"Authorized Tether (USDT) is a token created on the blockchain that can be used for distribution to the public. Once created / authorized, these tokens can be sold to third parties, but before that they have been authorized but Issued and exist in Tether Treasury. It is essential that they are not currently included in Tether's market value as they have not been released into the digital ecosystem. "
"In contrast, issued Tethers are tokens that are actually in circulation, that is, they have been sold to customers by Tether and then fully supported by Tether's reserves until they are redeemed. They are included in the market value of Tether. When tokens are issued, the stock of authorized but unissued tokens will be used up, and this authorized inventory will be replenished by authorizing new tokens based on market demand. "