If you've been following current events commentators with login passwords on Twitter since Sunday, you may have read that recent actions by US financial regulators against Paxos's concentration of stable dollars linked to the dollar will help investors switch to fragmented, audit-resistant alternatives.

Although this seems logical, so far, the direct evidence points in the opposite direction. Investors seem to have moved out of Australian dollars and peer USDC and DAI to Tether (USDT), the world's largest centralized stabilization fund, valued at US $68.47 billion.

As of press time, in the Busdv2 liquidity pool in the decentralized rate curve, the dollar accounted for about 81% of the working capital of US $12.81 million, but the other components of the pool-DAI, USDC and USDT---accounted for other parts.

Pasteur's dominance has risen from 69% since early Monday. By comparison, according to the data analysis tool Chaineye and Curve, the emergence of Tether has dropped to 3%, the lowest in the pool, indicating an increase in preference for the dollar and other centralized stable currencies after regulatory behavior.

Ilan Solot, head of the Marex Solutions Digital property Joint Club, which is based in London, told WJB: "investors have fled the Australian dollar, although Paxos ensures that its offer is well applied and offers an orderly discount."

Earlier on Sunday, the Securities and Exchange Commission (SEC) informed Paxos that it was preparing to sue the company for violating the investor protection law. In addition, the New York City Financial Services Center ordered Parksos on Monday to stop production and make a new token. In response, Paxos said it would stop issuing a new token and redeem it at least by 2024.

Although the regulatory action is for the US dollar, investors are concerned that Circle's USDC may be the next company to face challenges, as evidenced by the evaluation in Twitter and the imbalance in Curve's three pools of USDT, USDC and DAI.

Tether's share of 3Pool fell from 24% to 17.5% in a week, reaching levels last seen before Terra went bankrupt in May 2022. By comparison, USDC's share has increased from 38 per cent to 41 per cent. According to Dune Analytics statistics, Dai Xianglong's share rose slightly to 40 per cent.

In theory, the 3Pool of Curve should be three equal parts of DAI-USDC-USDT. But as investors sell USDC and DAI and switch to USDT, the pool is becoming increasingly uneven, "Solot said.

The move to Tether may be surprising, and due to the full consideration that it will not be regulated and the lack of clarity of its reserves for a long time, the largest centralized stability may be the most controversial. On Friday, a New York City presiding judge rejected a request by iFinex, the cryptocurrency exchange Bitfinex and stablecoin publisher Tether to block WJB from giving support to USDT's dynamic password financial reserve data.

The fact that Tether successfully survived the turmoil caused by Terra in May 2021 is likely to boost investors' confidence in a stable sales market. Either that, or the other choices are getting lower and lower.

"this may not be an improvement in trust, but a view that the range of options has been reduced," Solote said. "for example, Binance is likely to decide to abandon its goal of creating BUSDC as a key trading industrial base. Today, USDT is likely to remain the most important trading industry base. "