Although speculators have long questioned Tether’s reputation, the stablecoin has continued to rise above the din. In reality, given the need for Bitcoin, looking at Tether’s growth makes sense. Tether minted a whopping $2 billion in a single week in 2021, with $1.5 billion minted the week before.
With a market cap of $25 billion at press time, it is no exaggeration to say that Tether’s supply and circulation have a major effect on the market.
During a recent video interview with Tether co-founder William Quigley, the altcoin was one of the topics discussed. Quigley said, “There is a compelling need for clarity with regard to Tether.”
“The company and its reserves should be audited at least quarterly, and maybe even monthly. Every time you print a Tether, you should have a dollar being added to that cash pool.”
Quigley, who left the project in 2015 and now runs the non-fungible token (NFT) exchange WAX, added,
“Audited once a month, once a quarter.”
These remarks follow on the heels of Quigley’s latest statements, in which he claimed that Tether risks being substituted if it does not grow to become more transparent.
The CEO’s comments, on the other hand, do not come as a surprise. Tether agreed to a $18.5 million deal with the New York Attorney General last month on allegations of trying to mask financial damages, amid the company’s statements to the contrary.
The executive also discussed Bitcoin’s success and the resulting bull rally. Quigley confessed to being “surprised” by the market’s growth, as well as the widespread acceptance sparked by Tesla, banks such as JP Morgan and Goldman Sachs, and hedge funds.
According to Quigley, stocks are in a post-BTC halving bull streak, which is the primary explanation why the commodity could reach $100,000 by 2022.
“What’s happened historically whenever that happens for between the next 12 and 18 months, Bitcoin can go up between 300% and 500%.”
It’s worth mentioning that the creators of Gemini were indeed bullish on Bitcoin’s future value.
Having said that, the Tether co-founder also mentioned Bitcoin’s faulty payment method. “The drawbacks with tokens that fluctuate in volume, that kind of uncertainty does not function as a payment,” he said.
“Crypto-payments globally are going to turn to blockchain based payments but they are all going to be Central Bank, digital currencies and hopefully Tether and/or other stablecoins in the next 5 to 10 years. There’s no need of Bitcoin as a payment.”
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