Key Takeaways
- S&P downgraded USDT’s stability score due to reserve risk and lack of full transparency.
- Tether responded with a sweeping defense of its reserves, profitability, and systemic relevance in emerging markets
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Tether has pushed back against S&P Global Ratings after the agency downgraded USDT’s stability score to 5, its lowest level, citing exposure to risky assets like Bitcoin and lack of reserve clarity.
Tether called the downgrade misguided and based on a legacy framework that ignores the stablecoin’s track record and real-world use. It noted USDT has never failed a redemption, even during crises, and continues to process billions in volume daily across major exchanges and DeFi platforms.
The company emphasized its $135 billion in Treasury exposure, placing it among the top global holders, and cited over $13 billion in profit in 2024 and $10 billion year-to-date in 2025 as evidence of its strength.
It also underscored USDT’s global role as financial infrastructure in emerging markets like Türkiye and Nigeria, not just a speculative token.
CEO Paolo Ardoino dismissed the rating as legacy finance propaganda, posting, “We wear your loathing with pride,” and challenged S&P to assess USDT using transparent, on-chain data rather than outdated models.
