[LatteLazy]

That's not necessarily true based on your link. Given Tether is invested in interest bearing instruments, the pool of capital should be move than the total outstanding Tether value. So even losing some by MTM at lower prices, they have a safety buffer...

[brandoncarl]

I follow your theory, but as of the last audit that wasn't close to true.

[LatteLazy]

Has there been a public independent audit? I thought the lack of one was part of the issue...

[brandoncarl]

This is the closest. https://assets.ctfassets.net/vyse88cgwfbl/1np5dpcwuHrWJ4AgUg...

As you can see, the rates don't map to any significant overcollateralization.