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On November 26, S&P Global Ratings downgraded Tether's USDT stablecoin from constrained to weak, which corresponds to the lowest reliability. This is reported on website agencies.

USDT is the largest and oldest stablecoin in circulation pegged to the US dollar. The downgrade means that S&P doubts the token's ability to maintain this peg.

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S&P explained that the deterioration in the assessment is due to an increase in the share of risky assets in USDT reserves, primarily bitcoin. "A drop in the price of bitcoin, coupled with a decline in the value of other risky assets, could reduce reserve coverage and make USDT undercovered," the agency warned.

It points out that this is not the only weakness of the USDT. These include limited transparency in reserve management and attitudes toward risk, the lack of a robust regulatory framework and asset segregation, and restrictions on the initial redemption of USDT.