It came from an investigation by New York's AG last year: > In fact, Tether’s reserves of cash and cash equivalents alone (without the line of credit) would co

It came from an investigation by New York's AG last year: > In fact, Tether’s reserves of cash and cash equivalents alone (without the line of credit) would cover approximately 74 percent of the outstanding amount of tether. This sort of “fractional” reserving arrangement is similar to how commercial banks work. No bank holds in liquid cash more than a small percentage of depositors’ money. The funds are invested. https://iapps.courts.state.ny.us/nyscef/ViewDocument?docIndex=JcKQms/tM52ywY78HUsInw== https://iapps.courts.state.ny.us/nyscef/ViewDocument?docInde...