Crypto Biz: You Can't Stop Tether FUD

This Week's Crypto Biz Bulletin: The Wall Street Journal Questions Tether's Business Model; venture capitalists scoop up crypto at rock bottom prices.

In the world of crypto, FUD stands for fear, uncertainty, and doubt. It is often brought up intentionally to draw negative attention to a particular project or business. One of the crypto's most enduring legacies has been the constant FUD surrounding Tether, whose stablecoin USDT commands a market capitalization of nearly $68 billion. Whether intentional or not, the Wall Street Journal published an article this week claiming that Tether was on the verge of technical insolvency and that it wouldn't take much to push the stablecoin issuer into financial peril. Of course, Tether stood firm and immediately responded to what he saw as the Journal's "misinformation" campaign.

No matter which side of the debate you are on, it is becoming clear that there is a strong media bias against Tether. In fact, the Journal published an article a few months ago claiming that more hedge funds were betting against the stablecoin around the same time the crypto market as a whole was plunging.

This week's Crypto Biz newsletter dissects the Tether controversy and gives you the latest on the state of venture capital and non-fungible tokens (NFTs).

In an article published on Saturday, the Wall Street Journal claimed that even a 0.3% drop in Tether's assets could deem the stablecoin issuer "technically insolvent." The Journal referred to Tether's latest disclosure on its website, which showed that assets only slightly exceeded its liabilities. Tether clapped back and accused the Journal of engaging in unnecessary FUD. "The article seeks to discredit the work Tether has put into transparent and honest communication...