Wormhole Co-founder: Tether and Circle Profit from High Interest Rate Environment, but Stablecoin Holders Struggle to See Returns

Golden Finance reports that Wormhole co-founder Dan Reecer criticized stablecoin giants Tether and Circle in a recent interview, stating that these two companies are profiting from the current high interest rate environment while stablecoin holders are seeing no returns. Tether and Circle support their stablecoins by holding high-yield U.S. Treasury bonds, but they do not share the earnings directly with users, as doing so might provoke regulatory discontent.