Amid the current market crash, $1 billion worth of Tether (USDT) has been transferred from the Tether treasury to the crypto exchange Binance.
The past two days have been particularly devastating throughout the cryptocurrency market.
During Saturday’s trading session, the bitcoin price dropped as low as around $34,000 on Binance, and is currently trading at around $35,700, and the price is struggling to stay above that level.
On Saturday evening, a “Whale Alert” account discovered that $1 billion in USDT had been transferred from Tether’s treasury to Binance.
Tether moves quickly and explains what happened by saying:
In a few minutes, Tether will be coordinating with a third party to conduct a chain swap, the transfer from Tron TRC20 to Ethereum ERC20, for the amount of $2 billion.
The overall Tether width will not change during this process.
This means that Tether has not printed any new USDT and is just converting coins from the Tron blockchain to the Ethereum blockchain, and sending it to Binance for trading.
Which means that the scenario of a buying spree and that it belongs to a whale wanting to buy bitcoin at this price is incorrect, at least according to the company’s interpretation.
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