Hedge Funds Increase Short Positions on Tether’s USDT

USDT stablecoin shorting is on the rise amid negative market sentiment and the collapse of the Terra ecosystem among crypto-focused hedge funds, The Wall Street Journal has learned.

According to the publication, a month earlier, traditional hedge funds traded short through the Genesis Global Capital service. The company’s head of institutional sales, Leon Marshall, has valued these deals at “hundreds of millions” of dollars.

He has added that the company did not take risks, on which “many lenders and hedge funds” have decided.

The website of the stablecoin issuer was subjected to a large-scale DDoS attack last June 18. Then, the project CTO Paolo Ardoino ruled out the impact of the incident on the possibility of redeeming positions in USDT.