According to a report on stablecoins released on May 7, Deutsche Bank analyzed 334 currencies linked to stablecoins and found that 49% of stablecoins had failed during their median lifespan of about eight to ten years. The analysts concluded that most anchored assets in the cryptocurrency field will experience significant "turbulence" caused by speculative sentiment and ultimately suffer some form of decoupling event. Deutsche Bank analysts also pointed out that Tether's reserve transparency was lacking and described the company's solvency as "doubtful".

In response, Tether vehemently criticized Deutsche Bank's report, stating that it lacked clarity and substantive evidence and relied on vague assertions rather than rigorous analysis. A Tether spokesperson said that while the report attempted to predict the decline of stablecoins, it failed to provide specific data to support its claims. Furthermore, comparing it to algorithmic stablecoin Terra is misleading and unrelated to the discussion of reserve-backed tokens.