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The co-founder and CEO of Circle, Jeremy Allaire, has announced the cryptocurrency firm that issues the stablecoin usd coin plans to provide the public with weekly stablecoin reserve reports. Additionally, the company Tether has also released an assurance report on its stablecoin reserves via the Cayman Islands auditing company MHA Cayman.

Circle CEO Says Firm’s Stablecoin Is a ‘Very Efficient Pipe Between Legacy Electronic Dollars and Digital Currency Dollars’

The two largest stablecoin providers, Tether and Circle, want the public to be assured that tether (USDT) and usd coin (USDC) are fully backed by reserves. The latest assurances follow the recent terrausd (UST) de-pegging event, which saw UST drop from its once-stable $1 parity to today’s $0.06 per UST.

Following the event, Circle published a blog post on May 13, called “How to Be Stable,” which explained Circle’s USDC reserves are backed entirely in cash and short-dated U.S. Treasuries. After the blog post, a week later the co-founder and CEO of Circle, Jeremy Allaire, explained that the company will now provide weekly USDC attestations concerning the stablecoin’s reserves and liquidity.

“As promised a week ago, we are now providing weekly reports on USDC reserves and liquidity operations,” Allaire tweeted. Allaire also shared the USDC assurance report and further said: “Over the past week, we saw 8.6 billion USDC issued, and 6.3 billion USDC redeemed, with a net weekly increase in circulation of 2.3 billion USDC.” The Circle CEO added:

What makes USDC such a great product is that it’s easy to create and redeem, with seamless integration with the existing global banking system. As a result, customers are able to use it as a very efficient pipe between legacy electronic dollars and digital currency dollars.

Per the report, the usd coin (USDC) in circulation is 52.9 billion while Circle’s reserve backing count is $53 billion as of May 20, 2022. $12.8 billion of the USDC backing is in cash, while $40.2 billion is held in short-duration U.S. Treasuries.

Out of the entire $1.3 trillion crypto economy, USDC represents 3.95% and during the past 24 hours, USDC has seen $3 billion in global trade volume. Circle’s stablecoin is the second-largest fiat-pegged crypto token that’s tied to the value of the U.S. dollar.

Tether Publishes May 2022 Assurance Report Authored by MHA Cayman

This month, Tether published an assurance report written by the firm MHA Cayman, an auditor formally known as Moore Cayman. The report says Tether’s “consolidated total assets amount to at least USD 82,424,821,101 and the asset breakdown set out in the CRR is materially accurate.” MHA Cayman says it conducted attestation methods such as an ISAE 3000, an ISQC 1, and accountant responsibilities in accordance with the IESBA Code.

Tether is the largest stablecoin crypto asset today, as coingecko.com data shows there’s currently 73.2 billion USDT in circulation. The company’s transparency page indicates that the firm holds $78.4 billion in total assets on blockchains like Omni, Ethereum, Tron, EOS, Algorand, and more.

Tether’s market capitalization today equates to 5.44% of the $1.3 trillion crypto economy, and USDT has seen $31 billion in global trade volume over the last day. In fact, 47.71% of bitcoin’s (BTC) past 24 hours of trades were all paired with USDT, and 48.77% of all ethereum’s (ETH) swaps were paired with tether this weekend.

What do you think about Circle’s and Tether’s reserve backing assurance reports? Let us know what you think about this subject in the comments section below.

One thought on “Circle to Issue Weekly USDC Reserve Reports — Tether Publishes May 2022 Assurance Report

  1. Hi all I have been in this game for a while and I want to try and give some advice on some good things to do as a crypto user while the markets are still moving sideways (hopefully not for too much longer 🤞)

    1- Telegram / Discord groups – if you have any projects you like join their groups, they're a good way to test the health of a project. If they have regular discussions and active moderators, then hopefully the project is in good shape. However if the group is very quiet, or just people posting rocket emojis and when moon, they are most likely bagholders looking to sell first chance they get. Feel free to snip off the group's that have nothing going on, or at least archive them, so you can keep an eye on the good ones.

    2- Githubs – make sure to check a projects GitHub to see how much development is being done on it. While this may not always be the best indicator, as a released project may not have that much development as one in testnet, it's worth keeping an eye on.

    3 – Learn how to use your crypto – this is probably the most important one for me. Now is actually a good time as gas fees across the board have lowered. Get yourself a browser extension wallet (metamask most likely), then add RPC for a layer 1 network like FTM, AVAX, BNB – then deposit some money into it, no more than your willing to lose. And then learn how it works to interact with a web3 website. Make a few small swaps on sushiswap, buy a worthless nft from an nft marketplace, just play with and educate yourself. There are a few tutorials online if you need help. I wouldn't recommend using ethereum for this as it's gas fees are still high.

    4 – learn how to read your block explorer. This kinda leads on after #3. Learn how the block explorer works on your chain, check some people's wallets. View some charts and analytics. Learn how people become Blockchain detectives.

    By doing a few of these you will be better prepared for what comes ahead.

    Note: if your a bitcoin maxi skip 1 & 3 and use the time to send Peter Schiff a picture of your balls

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