- Tether’s USDT stablecoin tracks the dollar and has a market capitalization of about $112.4 billion. The company lately has been investing most of the reserves backing USDT in US Treasury bills and other securities, earning billions of dollars in profits during the current high interest-rate environment.
Can It make USDT Haram ?Because USDT Company Use Their Reserves to Make money on intrest
I think stablecoins like USDT and USDC are permissible and halal, as they are compared to and indexed against stable fiat currencies that we all accept as halal currency (despite all the interest and debt issues you mention that also apply to every fiat currency). They just happen to be a digital version. Very soon we will have regulated versions in the form of CBDC’s issued by many governments. They will no doubt also carry the same debt and interest issues and will have to be accepted as halal, as they will probably become the norm within the next decade. In my view, bitcoin is more halal than any fiat currency or upcoming CBDC, but thats just me. Hope thats helpful iA
