Tether: Deutsche Bank lacks substantive evidence for stablecoin failure

In a May 7 research report on stablecoins, Deutsche Bank studied 334 pegged currencies and found that 49% of stablecoins failed during their median lifespan of about eight to ten years. Analysts concluded that most anchored assets in the cryptocurrency space will experience significant "turbulence" driven by speculative sentiment and eventually suffer some kind of decoupling event. Deutsche Bank analysts also pointed out that Tether's reserves lack transparency and called the company's solvency status "questionable." In response, Tether slammed Deutsche Bank's report, saying it lacked clarity and substantive evidence and relied on vague assertions rather than rigorous analysis. A Tether spokesperson said that while the report attempted to predict the decline of stablecoins, it failed to provide specific data to support its claims. In addition, comparing it to the algorithmic stablecoin Terra is misleading and irrelevant to the discussion of reserve-backed tokens. (Cointelegraph)