Tether’s USDT continues to play its dual role as the market-dominant yet closely scrutinized stablecoin, with on-chain transaction volume reaching $719.83 billion in November, compared to USDC’s $493.96 billion. Although BitMEX co-founder Arthur Hayes has warned that a 30% drop in Bitcoin and gold holdings could theoretically wipe out its $6.55 billion equity buffer, CoinShares’ James Butterfill points out that Tether has $181 billion in reserves against $174.45 billion in liabilities, along with record-high profitability—all factors that help mitigate risk. The market continues to prioritize USDT’s utility over debates about reserve composition, with its long-term stability hinging on the management of redemption risk rather than isolated asset volatility.