S&P Downgrades Tether's USDT Stability Rating to 'Weak' Over Reserve Risks

S&P Global Ratings downgraded Tether's USDT stability assessment from 'constrained' to 'weak' on Wednesday, citing increased exposure to volatile assets including Bitcoin and transparency concerns. The move has sparked intense debate among China's estimated 20 million underground crypto users who rely heavily on USDT despite the national ban on digital asset trading.