BlockBeats News, November 30th, BitMEX co-founder Arthur Hayes posted that the Tether team is in the early stages of conducting a large-scale carry trade. My interpretation of the Tether reserve audit report is that they believe the Fed will cut rates, severely impacting their interest income. In response, Tether is buying gold and BTC, theoretically, when the currency price (interest rate) drops, these assets should skyrocket. A “gold + BTC position” dropping by around 30% would wipe out their equity capital, and then USDT would theoretically be insolvent. I believe some large holders and trading platforms will demand real-time visibility into Tether’s balance sheet to assess default risk. Get your popcorn ready, as mainstream media is expected to hype this up, especially those editors suffering from “Trump Derangement Syndrome” (TDS), who want to seize the opportunity to attack Lutnick and Cantor, who support this stablecoin (referring to Commerce Secretary Howard Lutnick and his financial services firm Cantor Fitzgerald, major supporters and partners of Tether).
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