Tether Destroys 500 Million of Its USDT Coin

According to transaction data from Tether's accounts, it took 500 million USDT permanently out of circulation on Wednesday.

Tether has just destroyed 500M USDt from the Tether treasury wallet with the following tx: https://t.

Tether October 24, 2018.Transfer and BurnThe company first transferred the amount from its treasury account.

500 million is reportedly more than half of all USDT in circulation.

"Over the course of the past week, Tether has redeemed a significant amount of USDT from the circulating supply of tokens. In line with this, Tether will destroy 500m USDT from the Tether treasury wallet and will leave the remaining USDT in the wallet as a preparatory measure for future USDT issuances."

A Need For More TrustTether's market value took a precarious dip earlier in October, decreasing by $0.10 from where it previously sat at roughly 1USD. The dip prompted a mass sell-off of USDT, which ended up boosting the price of Bitcoin.

The stablecoin's recent troubles have led everyone from journalists to billionaire investors to weigh in on the legitimacy of Tether, and the market at large.

The company reportedly promised regular audits of its holdings in its white paper but has failed to deliver on them, though it has released a partial one that appears to confirm it can match every USDT with a dollar.

As we reported before, most investors seem sure that Tether's coin is backed by the dollar, but the company hasn't been as transparent as it could be with its holdings, and that is what's sparked concern.

No one can fully know whether Tether is fully backed by USD until a more comprehensive audit is released.