opinion

Crypto SWOT: Tether is reentering the U.S. to become the top stablecoin issuer

Kitco Media
By Frank E Holmes
Published:
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Crypto SWOT: Tether is reentering the U.S. to become the top stablecoin issuer teaser image

Strengths

  • Of the cryptocurrencies tracked by CoinMarketCap, the best performer for the week was Aster, rising 857%.
  • Figure Technology Solutions shares opened 44% above their IPO price after raising $785.5 million in its listing. The opening price gives the company a market value of approximately $7.6 billion based on outstanding shares. It develops blockchain technology to facilitate loans, according to Bloomberg.

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  • Tether Holdings SA is reentering the U.S. market with ambitions to become the leading stablecoin issuer in the country. Its goal is to replicate its overseas success in the U.S., where it has been largely absent for years after paying a fine to settle allegations of misrepresenting its reserves, according to Bloomberg.

Weaknesses

  • Of the cryptocurrencies tracked by CoinMarketCap, the worst performer for the week was MYX Finance, down 27.55%.
  • The trustee-controlled bankruptcy estate for SafeMoon US LLC has agreed to pay an estimated $12 million to a class of investors who allege they were defrauded through the sale of the company’s crypto token, according to Bloomberg.
  • Jim Chanos criticized Michael Saylor for what he called “financial gibberish,” following reports that Saylor may sell Bitcoin or Bitcoin options to fund dividend payments for securities issued to acquire the cryptocurrency, according to Bloomberg.

Opportunities

  • Banco Santander SA’s online bank, Openbank, has launched retail cryptocurrency trading, marking the latest move by a major European financial institution into digital assets. The service will roll out to Openbank customers in Spain in the coming weeks, according to Bloomberg.
  • Thai authorities plan to move forward with easing restrictions that would allow foreign tourists to convert digital assets into baht to cover travel expenses—regardless of any changes in government leadership, according to the Thai SEC and Bloomberg.
  • Binance Holdings is nearing a potential agreement with the U.S. Justice Department that could remove a key oversight requirement from its settlement over allegations it failed to adequately prevent money laundering, Bloomberg reports.

Threats

  • Memecoin traders are trying to profit from the shooting of Charlie Kirk. Evan Rademaker, a 30-year-old executive, checked the memecoin market after hearing about the incident and noticed tokens associated with Kirk appearing on PumpFun. He invested $30,000 in one such token, but it quickly plummeted, resulting in a $17,000 loss.
  • The European Union is preparing to block Russian crypto transactions, marking the first time sanctions have directly targeted cryptocurrency platforms. Digital asset services will be included in the EU’s latest round of financial sanctions against Russia, according to Bloomberg.
  • Canadian authorities have seized more than 56 million Canadian dollars in cryptocurrency from the Trade Ogre exchange, marking the country's largest crypto confiscation and the first complete takedown of a digital asset platform. Working with blockchain analytics firm Arkham Intelligence, investigators traced illicit transactions linked to the exchange, according to CoinPedia.
Kitco Media

Frank E Holmes

Frank Holmes is CEO and chief investment officer of U.S. Global Investors, Inc., a boutique investment advisory firm based in San Antonio that manages domestic and offshore funds specializing in the natural resources and emerging markets sectors. The company’s no-load mutual funds include the Global Resources Fund (ticker PSPFX), the World Precious Minerals Fund (UNWPX) and the Gold Shares Fund (USERX).

Please consider carefully the fund’s investment objectives, risks, charges and expenses. For this and other important information, obtain a fund prospectus by visiting www.usfunds.com or by calling 1-800-US-FUNDS (1-800-873-8637). Read it carefully before investing. Distributed by U.S. Global Brokerage, Inc.

All opinions expressed and data provided are subject to change without notice. Some of these opinions may not be appropriate to every investor. Foreign and emerging market investing involves special risks such as currency fluctuation and less public disclosure, as well as economic and political risk.

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BitcoincryptoCharlie KirkcryptocurrenciesCoinMarketCapThe European Union
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