Tether is launching a new liquidity portal, one that will finally allow the direct redemption of Tether’s stablecoin USDT back into fiat.According to a new report released on the company’s website, Tether is going to “launch a redesigned platform allowing for the verification of new customers and direct redemption of Tether to fiat.” One of the most successful stablecoins available on the market, Tether’s current market capitalization is $1.8 billion. Originally founded in 2014, Tether has seen wide adoption compared to other prominent cryptocurrencies as a popular trading hedge on the industry’s myriad exchanges.There was just one problem with their model, however, in that there was a serious level of opacity regarding their actual fiat reserve. Although a customer could freely change fiat into Tether tokens at a variety of exchanges, there was no way to get fiat back.This prompted speculation into Tether’s business practices, as skeptics wanted to know if there was any concrete way of ensuring that one unit of tether would always be worth $1 USD. Tether terminated its relationship with its first group of official auditors, and it was only later that a law firm could confirm the existence of a cash reserve. This independent examination, however, was not an actual professional attestation or audit per se, but rather what was termed a “transparency report.” This state of affairs was still sufficient for ...
