Ever wonder how crypto reserves stack up against traditional banking disasters? Here's a reality check.

Bank runs throughout history share a common thread—institutions scrambling when depositors demand their money back. The panic spreads fast, liquidity evaporates faster.

Now look at Tether's current reserve structure: 77% sits in liquid cash equivalents. The remaining portion pushing total backing to 103%? Physical gold and Bitcoin. Not exactly the fractional reserve game banks play.

The contrast is stark. Traditional banks operate on leverage and assumptions. Crypto reserves, at least in this case, maintain over-collateralization with tangible assets. Whether that's enough to weather a real storm? Markets will eventually test that theory.

But the transparency angle alone shifts the conversation. You can verify these numbers. Try doing that with your local bank's balance sheet.