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Tether, issuers of the USDT stablecoin, criticized hedge funds for shorting the cryptocurrency saying that the bearish bets have failed to pay off and are not worth the huge Leon Marshall, head of institutional sales at Genesis Global Trading, claims that traditional hedge funds shorted Tether through his brokerage. He said that the relevant Paolo Ardoino, Tether’s CTO, opens up about attempts at a coordinated attack by traditional hedge funds trying to short USDT. Ardoino wrote about the details in a It was recently reported that several traditional hedge funds have joined hands with retail traders to bet against USDT. These hedge funds are spending millions of Tether's CTO Paolo Ardoino has confirmed that cryptocurrency hedge funds and traders have been trying to short the U.S. dollar-pegged stablecoin Tether following the Crypto brokerage Genesis has seen a “real spike in the interest from traditional hedge funds who are taking a look at Tether (USDT) and looking to short it,” He alleged that hedge funds have been trying to create pressure “in the billions” to “harm Tether liquidity” with the aim of eventually buying back tokens at a much The simple fact that hedge funds view Terra’s collapse as a constructive thesis to short USD₮ represents the asymmetric knowledge gap between cryptocurrency

Traditional Hedge Funds Target USDT: Tether CTO Alleges Shorting Attempts

Paolo Ardoino, Tether’s CTO, has publicly opened up about what he describes as a coordinated attack by traditional hedge funds attempting to short USDT, the popular stablecoin issued by Tether. This revelation follows reports that several traditional hedge funds have joined forces, alongside retail traders, to bet against USDT, allocating millions to these efforts.

Hedge Funds Shorting USDT: A Growing Trend?

The trend of traditional hedge funds shorting USDT has gained traction, with some viewing the collapse of Terra (LUNA) as a "constructive thesis" to short USD₮. Tether has criticized these hedge funds for shorting the cryptocurrency, stating that the bearish bets have failed to pay off and are not worth the huge risks involved. The simple fact that hedge funds view Terra’s collapse as a constructive thesis to short USD₮ represents the asymmetric knowledge gap between cryptocurrency.

Genesis Global Trading Sees Increased Interest in Shorting USDT

Leon Marshall, head of institutional sales at Genesis Global Trading, confirms a surge in interest from traditional hedge funds looking to short Tether (USDT) through his brokerage. Crypto brokerage Genesis has seen a “real spike in the interest from traditional hedge funds who are taking a look at Tether (USDT) and looking to short it,”

Tether\'s CTO Alleges Coordinated Attack on USDT Liquidity

Ardoino detailed the alleged strategy, claiming that hedge funds have been trying to create pressure “in the billions” to “harm Tether liquidity” with the aim of eventually buying back tokens at a much lower price. Tether\'s CTO Paolo Ardoino has confirmed that cryptocurrency hedge funds and traders have been trying to short the U.S. dollar-pegged stablecoin Tether following the attacks. Ardoino wrote about the details in a .

Have Hedge Funds Successfully Shorted USDT?

While hedge funds have been actively attempting to short USDT, Tether maintains that these efforts have been unsuccessful and that their stablecoin remains robust. Time will tell if these bearish bets will ultimately prove fruitful, but the situation highlights the increasing scrutiny and volatility surrounding stablecoins in the current market.

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