Cryptocurrencies
JPMorgan Joins Choir Warning of Tether’s Sway on Crypto Markets
- Skeptics question stablecoin’s role in the surge of Bitcoin
- Bitfinex, Tether are embroiled in a dispute with New York
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Questions about the influence of Tether continue to swirl in cryptocurrency markets, even as the companies behind it defend the so-called stablecoin’s soundness.
Tether, whose backers say is equivalent one-to-one to the dollar, is used in transactions to move between cryptocurrencies and fiat money. Traders also often use the token as a place to park funds at times of high volatility, and many consumers in China use it to enter the digital-asset markets. It has a market capitalization of about $34 billion, according to CoinGecko -- but in a sign of how much it’s used in the system, the 24-hour trading volume on Friday was about $107 billion.