You don't need to trade with an intermediary in the commercial paper market, companies could directly issue the paper to Tether, no one would ever know about it. They could then reduce their holdings to zero by holding the paper to maturity and buying treasuries with the proceeds. By definition this being commercial paper means it would take just months to do this.
onlyrealcuzzo|3 years ago
You can't go out and find $30B worth of commercial paper that no one else knows about and buy it in 3 months.
When governments around the world were stuffing everyone and every company to the brim with money - and banks couldn't find anyone to borrow money beside people to buy third homes in Ibiza - how did Tether find a bunch of companies that wanted to print $30B of commercial paper in 3 months that no one in the market was competing for?
Oh - and also - this heretofore undiscovered market was bigger than the previously known commercial paper market?
Yeah, right... It didn't happen.
namdnay|3 years ago
bidirectional|3 years ago