Tether holds Bitcoin and gold because it believes they are hedges against inflation. In addition, Tether has long supported Bitcoin's decentralized nature and scarcity, as well as its ability to make the global financial system accessible to anyone with an internet connection. The exchange rate between Bitcoin and the U.S. dollar is volatile, and the dollar value of Tether's Bitcoin holdings may change significantly after its latest reserve report is released. Tether regularly monitors the value of its Bitcoin holdings. Tether does not commit to updating any valuation information at any specific time interval. However, Tether maintains a healthy balance of net equity (excess reserves of Tether issuers) to buffer against Bitcoin's volatility.
