Stablecoin issuer Tether has reduced its commercial paper holdings to zero, replacing those holdings with US Treasury bills, the company announced in a blog post on Thursday.
“Reducing commercial paper to zero demonstrates Tether’s commitment to backing up its tokens with the most secure reserves on the market,” Tether wrote.
Commercial paper is short-term unsecured debt issued by companies, where the value of the paper depends on the issuing company. Commercial paper is less stable than other debt instruments, such as US Treasury bonds.
Tether has previously said that its commercial paper holdings will be zero by the end of the year due to growing concerns over the stability of the Tether ecosystem and its stablecoin, USDT.
In October, Tether said it had cut its commercial paper holdings to less than $50 million.