Cantor Fitzgerald's CEO Highlights Bitcoin Optimism and Assures Tether's Stability at WEF
Summary:
Cantor Fitzgerald's CEO, Howard Lutnick, recently spoke at the World Economic Forum, highlighting the minimal impact of the new US Spot Bitcoin ETFs on the crypto market. Expressing optimism for Bitcoin's future growth, he also emphasized the significance of stablecoin in countries like Venezuela, Argentina, and Turkey, where he believes crypto assets are especially crucial. In the same vein, he provided assurance about Tether (USDT), a stablecoin company his financial firm manages significant assets for, despite previous criticism about nontransparent accounting practices.
CEO of Cantor Fitzgerald, Howard Lutnick, minimizes the influence of the newly established spot Bitcoin exchange-traded funds (ETFs) in the US on the crypto mark after the confidence in it took a hit in the past year, as he spoke at the World Economic Forum (WEF) being held in Davos, Switzerland. He also inferred some positivity for stablecoin Tether. Lutnick showed optimism about Bitcoin (BTC) during his discussion with Bloomberg TV. “BTC will remain stable, but it will likely experience growth and rally when the halving occurs,” he mentioned, adding that spot BTC ETFs are merely an avenue for Americans to make purchases. He detailed that Bitcoin isn't uniquely American, stating that: “Money exchanges can be done through Venmo and PayPal. [...] It appears that the speculative asset for us [Americans] is important. But for nations like Argentina, Venezuela, and Turkey, these crypto assets are crucial. Stablecoins are significant in these nations. They provide a means to sustain the dollar." Lutnick is not arbitrarily endorsing stablecoin. The financial institution he leads oversees the US Treasury securities portfolio of Tether Holdings. Lutnick assured investors about Tether (USDT), stating that: “We manage a significant portion of their assets. [...] As per our observation and extensive work, they possess what they claim to have." Despite facing backlash over its opaque accounting procedures, Tether scored the second-least in S&P Global’s stablecoin stability evaluation. The stablecoin issuer has been subjected to attestations, but it has never undergone an audit, raising suspicions regarding its financial stability. The most recent attestation report was issued on 31st October 2023. Related: Cantor's former executives began a crypto lending platform anticipating Bitcoin ETFs. Tether and its parent firm, Bitfinex, settled an agreement with the New York Attorney General's office in February 2021, obliging them to submit quarterly reserve reports for two years. Reports suggest that Tether is working towards launching a real-time reserves reporting system possibly by 2024. “BTC will experience a growth spurt and begin to rally when the halving happens,” reiterated billionaire and Cantor Fitzgerald's CEO, Howard Lutnick [source (@DocumentingBTC) 16 January 2024].
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Published At
1/17/2024 12:32:54 AM
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