CCData: The stablecoin industry will bear significant revenue losses brought about by the Fed's interest rate cuts.

Odaily Planet Daily News CCData's new report shows that after the latest rate cut by the Federal Reserve, the Stable Coin industry will have to bear a significant loss of Interest income. The top five centralized Stable Coin issuers collectively hold nearly $125 billion in US Treasury bonds, accounting for nearly 80.2% of their reserve funds. Every 50 basis point rate cut by the Federal Reserve will result in a $625 million annual loss of Interest income for USD Stable Coin issuers. Data shows that Tether holds nearly $93.2 billion in US Treasury bonds and repurchase protocols, which contribute to most of its $5.2 billion net profit in the first half of 2024. The second largest Stable Coin USDC holds $28.7 billion worth of US Treasury assets through its Circle Reserve Fund. (Dailyhodl)