Blockchain data indicates that Alameda Research, a cryptocurrency trading firm, redeemed over $38 billion worth of Tether (USDT) tokens in 2021, despite not having the equivalent assets under management. This information was flagged by Coinbase director Conor Grogan. Onchain data shows that Alameda was responsible for minting $39.55 billion of USDT, which accounts for 47% of Tether’s circulating supply. Grogan suggests that FTX ordered USDT redemptions were likely from Alameda’s tokens, totaling 3.9 billion USDT. Former Alameda co-CEO Sam Trabucco explained how the firm profited from arbitrage opportunities related to the value of USDT. Alameda was able to create and redeem USDT tokens, allowing them to collect premiums on these opportunities. Tether has been contacted to confirm the amount of USDT tokens that were minted.

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Information	Details
Geography	The geographical region referenced in the text is not explicitly mentioned.
Countries	🇺🇸 🇨🇺
Sentiment	neutral
Relevance Score	0
People	Conor Grogan, SBF, Sam Trabucco
Companies	Tether, Alameda Research, Coinbase, Protoss, FTX
Currencies	US Dollar, Bitcoin, Tether, Terra Luna Classic
Securities	None