Recently, I found the situation with Tether quite troubling.

I just converted all my USDT to USDC.

Arthur Hayes, co-founder of BitMEX, warned that,

if Tether's Bitcoin and gold reserves shrink by 30%,

then the company will face the risk of balance sheet bankruptcy.

In other words: Tether's equity would be completely gone.

This year, Tether has withdrawn $10 billion in dividends (or more accurately, profits),

holding $13 billion in gold and $10 billion in Bitcoin as reserves,

but S&P recently downgraded USDT to 'weak',

now the total supply of USDT is $184 billion,

Tether seems stable,

but the reserves are too reliant on volatile assets, and any slight change could lead to major issues, like a ticking time bomb.

When using money, we need to think more about the risks, don't put all your eggs in one basket, it's safer to diversify.

What do you think?