Tether Reveals Whether They Had Funds In Silicon Valley Bank• March 12, 2023 12:23 pm • Comments
Most crypto holders didn’t have this on their bingo card.
Stablecoin USDC is going on its second straight day of being under its dollar peg by six cents or more after Circle announced USDC has over $3 billion in cash reserves stuck in Silicon Valley Bank.
Currently, USDC is priced at .94 which is a five-cent increase from its previous price of 89 cents on Saturday.
Here’s a visual of just how bad UDC’s problem is:
Rival stablecoin USDT is having no problem at all.
Tether reportedly had no exposure to Silicon Valley Bank at all and as a result Tether has kept its peg and is sitting at$1.01.
Take a look:
— Andrew Throuvalas (@AThrouvalas) March 10, 2023
Check out what Crypto Potato reported:
Tether – the world’s largest stablecoin issuer – does not appear to be under the same stress. When asked over Twitter, Tether CTO Paolo Ardoino said the company had no exposure to SVB.
Following SVB’s collapse, market participants appear to be dumping USDC and DAI (a crypto backed-stablecoin largely comprised of USDC reserves) for Tether’s USDT in DeFi protocol Curve’s 3pool.
Ardoinio called the activity within the pool a “flight to safety” over Twitter. Tether’s stablecoin dominance remains high at 53.3%, according to DeFi Llama.
Binance CEO Changpeng Zhao has also confirmed that his company – the world’s largest crypto exchange – has no exposure to Silicon Valley Bank.
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