The idea was that Tether would issue more stablecoins than the actual reserves they had - just like the fed printing money and diluting dollars.
By using these unbacked stablecoins you can dilute the crypto prices.
There was much speculation, but I never saw anything solid to say this was happening.
Lutnic manages a lot of Tether's assets via his company, and so is in a position to know if there is anything shady. He has vouched for their assets based on this inside vantage point.
The idea was that Tether would issue more stablecoins than the actual reserves they had - just like the fed printing money and diluting dollars.
By using these unbacked stablecoins you can dilute the crypto prices.
There was much speculation, but I never saw anything solid to say this was happening.
Lutnic manages a lot of Tether's assets via his company, and so is in a position to know if there is anything shady. He has vouched for their assets based on this inside vantage point.