Analysts at JPMorgan said that Tether (USDT) could face having to sell its bitcoin reserves due to proposed U.S. legislation to regulate stablecoins. According to the bank, only 66%-83% of USDT’s reserves are compliant with future legislation. If Congress passes one of the proposed bills, Tether will have to revise its asset structure, replacing bitcoins and other instruments with more liquid and safe assets such as US government bonds.
Tether currently holds 83,758 BTC (roughly $8.04 billion). In case of changes in the legislation, the company may lose its dominant position in the US market. It is emphasized that the new rules will require issuers to be more transparent and regularly audited, which will create additional difficulties for Tether.
The regulatory framework for stablecoins is expected to be approved by the end of 2025. Last year, Tether had already announced regular investments in bitcoin and also announced the development of an AI application for cryptocurrency wallets.
