JPMorgan Chase: Tether may need to sell Bitcoin to comply with proposed US stablecoin regulations
Morgan Stanley analysts estimate that only 66%-83% of Tether's reserves comply with proposed U.S. stablecoin regulations, and may require asset restructuring. Analysts suggest that if the regulations are passed, Tether might need to sell off Bitcoin and other non-compliant assets, and instead purchase U.S. Treasury bonds and liquid reserves.
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