Gate Daily (December 1): Tether announces $7 billion excess profits to counter S&P; Yearn yETH suffers from a vulnerability attack incident.

Bitcoin (BTC) had a sharp fall at the start of this week, temporarily reporting at 87,500 USD on December 1. The CEO of Tether countered the panic caused by S&P's downgrade of USDT, stating that they have about 7 billion USD in excess profits. The CEO of MicroStrategy indicated that if Bitcoin's net worth falls and funds are insufficient, the company will sell Bitcoin. Yearn yETH was attacked, with about 3 million USD worth of ETH flowing into Tornado Cash.

Macro Events & Coin Circle Hotspots

1. Tether CEO Paolo Ardoino and market analysts refuted S&P Global's downgrade of USDT's ability to maintain its peg to the dollar, stating that the rating agency did not consider all of Tether's assets and income. According to Ardoino's citation of Tether's third quarter attestation report, as of the end of the third quarter of 2025, Tether Group's total assets were approximately 215 billion USD, while its total liabilities for stablecoins were about 184.5 billion USD. He also added, “As of the end of the third quarter of 2025, Tether has approximately 7 billion USD in excess equity, along with about 184.5 billion USD in stablecoin reserves, and approximately 23 billion USD in retained earnings as part of Tether Group's equity.”

2. MicroStrategy CEO Phong Le recently stated in an interview that the company would only consider selling Bitcoin if its stock price falls below its net asset value and it cannot obtain new funding. Le mentioned on the What Bitcoin Did show that if MicroStrategy's market-to-net asset value (mNAV) falls below 1 and financing options are exhausted, then selling Bitcoin becomes mathematically reasonable to protect what he calls “Bitcoin earnings per share.” However, he pointed out that this would be a last resort, not a policy shift. “I don’t want to be a company that sells Bitcoin,” he said, adding that financial discipline must prevail over emotions when market sentiment is low.

3. Yield farming protocol Yearn Finance appears to have been attacked, resulting in the theft of liquidity staking tokens (LST) worth millions of dollars from its Yearn Ether (yETH) product. Yearn Ether (yETH) aggregates popular LSTs into a single token. Blockchain data shows that the yETH fund pool was apparently drained through a carefully designed exploit, which minted an almost infinite number of yETH tokens in a single transaction, thereby emptying the fund pool. This transaction resulted in 1000 ETH (worth approximately 3 million USD at current prices) being sent to the mixing protocol Tornado Cash.

News Dynamics

1. “Maji Dage” Huang Licheng partially liquidated his high-leverage ETH position and still holds 3,300 coins.

2. Telegram Founder: The decentralized AI computing network Cocoon is officially launched.

3. Yearn yETH was attacked, approximately 3 million USD worth of ETH flowed into Tornado Cash.

4. Brother Maji holds over 100,000 HYPE long positions with 10x leverage, and the total position value has exceeded 31 million USD.

5. Hassert: If nominated by Trump to serve as the Chairman of the Federal Reserve, I would be very happy to take the position.

6. Early Ethereum whale deposits 1000 ETH to CEX, worth 3.03 million USD.

7. Beijing Business Today: The People's Bank of China has defined stablecoins for the first time, and industry analysts believe it will not affect Hong Kong's stablecoin-related layout.

8. Michael Saylor releases Bitcoin Tracker message again, which may reveal accumulation data this week.

9. Data: Tokens such as SUI, ENA, and SANTOS will experience a large unlock this week, with SUI unlocking a value of approximately 85 million USD.

Market Trend

1. Latest news on Bitcoin: $BTC This week opened with a sharp fall, currently reported at around 87,500 USD, with liquidation of 153 million USD in the past 24 hours, mainly from long positions;

2. The three major U.S. stock indices rebounded strongly last week, with the Dow Jones Industrial Average rising over 3%, the S&P 500 Index increasing nearly 4%, and the Nasdaq 100 Index soaring more than 4%, sweeping away the gloom brought by the AI bubble and the remarks of several “hawkish” Federal Reserve officials earlier in November.

(Source: Gate)

3. In the Gate BTC/USDT liquidation map, based on the current 87,638.20 USDT, if it falls to around 87,544 USD, the cumulative liquidation amount for long positions will exceed 25 million USD; if it rises to around 90,442 USD, the cumulative liquidation amount for short positions will exceed 782 million USD. The liquidation amount for short positions is significantly higher than that for long positions, so it is advised to reasonably control the leverage ratio to avoid triggering large-scale liquidations during market fluctuations.

(Source: Coinglass)

4. In the past 24 hours, BTC spot inflow was 489 million USD, outflow was 667 million USD, with a net outflow of 178 million USD.

(Source: Coinglass)

5. In the past 24 hours, contracts such as $PIPPIN, $ALCH, $BCH, $TRADOOR, and $BID have seen a net outflow, indicating trading opportunities.

X KOL Selected Insights

Phyrex Ni (@Phyrex_Ni): “The weekend indeed passed so blandly. Starting next week, there will be some key data to pay attention to. One is the ADP employment data on Wednesday night, which is the small non-farm data. In the absence of non-farm data, the ADP data becomes quite important. The lower this data is now, the more it favors the Federal Reserve's interest rate cuts, but it also indicates a typical situation of celebrating while mourning.”

“The Challenger layoffs on Thursday evening, ADP equates to employment, and Challenger equates to unemployment. The more layoffs there are, the more beneficial it is for the Federal Reserve to cut interest rates, which also indicates poor economic conditions, similar to having a funeral while celebrating a wedding. As for the September PCE data on Friday evening, to be honest, it's not very useful, as it's too early data, but if it can decline, that would be a good thing.”

“Of course, there will be PMI data next week, and Powell will attend an event and give a speech, but I don't think it matters much. PMI is not the focus right now, the Federal Reserve is in a quiet period, and Powell cannot talk about monetary policy matters.”

“Looking back at the data of Bitcoin, today's turnover rate has surprisingly continued to increase, but there hasn't been much change in the data of inflows and outflows to exchanges. It is very likely due to internal consolidation within the exchanges. Moreover, from the structure of URPD, it indeed shows that the transfer occurred at the specific price of 90,000 USD, while other turnover rates are not high. Overall, the current chip structure is still quite healthy, and the gathering of investors is very evident. Whether they are loss-making investors or profit-making investors around 80,000 USD, there have been no signs of a significant exit, and the investors' sentiment is still quite stable.”

Today's Outlook

1. France's November Manufacturing Purchasing Managers' Index final value was 47.8, previous value.

2. The final value of the manufacturing purchasing managers' index in Germany for November is 48.4, previously 48.4.

3. Eurozone November Manufacturing Purchasing Managers' Index final value, previous value was 49.7

4. UK Manufacturing Purchasing Managers' Index (final) for November, previous value was 50.2

5. The ISM Manufacturing Purchasing Managers' Index for the United States in November, with a previous value of 48.7.

6. Bank of Japan Governor Kazuo Ueda delivered a speech in Nagoya, central Japan, and met with business leaders.