The Tether network recorded a record number of transactions

On March 31, a total of 38,150 USDT transactions took place on the Tether network, which is an absolute historical maximum. This is evidenced by CoinMetrics.io.

Coinmetrics.io data

Earlier, the company Tether Limited, the issuer of USDT, updated the policy of providing a token.

So, now the coins are provided with "reserves, which include the traditional currency and cash equivalents, as well as, from time to time … other assets and forthcoming proceeds from loans that Tether has provided to third parties."

Despite the fact that, according to company representatives, the USDT is still pegged to the US dollar at a 1: 1 ratio, the community representatives were not convinced.

Note that the new model to some extent resembles the policy of partial reservation, which assumes that the tokens are provided not only with the existing money supply, but also with the obligations of the issuer's borrowers.

If the new model works this way, then Tether Limited has adopted the practice of banking institutions, which has repeatedly led to liquidity crises. However, traditional financial companies can rely on a saving bailout from the state in case of unforeseen circumstances – the same can hardly be said about Tether.

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