What you NEED to know about USD Tether + get 100SP delegated by commenting!

in cryptocurrency •  last year  (edited)

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Hi all,

USDT is a ticking time bomb. I made a vid about why that's the case.


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That's why I prefer bitUSD and bitCNY for stable currency.

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Yes the oracles of Bitshares allow for the best option for competing with USDT Tether

For a while @mughat and I were tinking SBD was a good choice to expnd by burning Steem t produce more SBD tokens to really expand SBD supply to cmpete with USDT

But then we all know what happened, SBD broke its peg upward and just became extremely expensive.. Great for anyone who bought it low as a hedge, but we STIL have hope with SMTs for creating a USDT replacement

Also I would like to nominate @masheil to recieve the 10 Sp fr a week if I do win, because she has donated a whole building for the use of Steemit #teamghana with @steem4depoor , and I just want to help her pay the overhead costs by helping her get some payout rewards, and helping her will help us to get MILLIONS of Ghanians onto steem, who will then use it as their Main bank account, and we will start to gain Millions of dollars in value from on boarding an entire African Nation into steemit!

Eventually Steem will he;p upgrade the infrastructure of every developing nation that integrates steem into itself... People will use post rewards to buy solar panels and cellphone towers and to build cheap or free wifi for entire cities, investments that will pay off in the billions... Imagine 1 billion human brains all mining proof of bran, like SIC bitcoin miners... By feeding these brains well fed and online we can extract a Lot of value from them over the course of t heir lifetime.. Its foolish to throw them away... Together we can uplift the standard of living of 3 billion people n this planet and create a solid global middle class t hat uses the steem blockhchain to create self sustainable business model using Ghana and Nigeria as the west African foothold that ten spread through all of Africa. We will create the techno-utopia of Wakanda from "Black Panther" but in real life :D Waghanda

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Wow, very impressive

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I was just thinking that someone should do a video on this... Awesome! You should consider making a step by step vlog on this for people to be able to follow along with the steps as well as additional ideas you might have. I wish people would think #Steemit through on something you mentioned in this video. We should all help each other be successful. Doing this not only reciprocates the support, but everyone becomes successful together. And even further, #Steemit then becomes more popular.

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I prefer nubits more but bitusd is good too!

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Thank you, BitShares is nice indeed.

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If Tether Tusd goes under it could be the biggest blow to BTC and the cryto market, if it happened it would be even worse then the MT Gox hacker back in the day.. I hope Tehter is not a bubble that will burst..

I just hope that there will be a direct fiat transfer to crypto on the bigger markets soon, then a ustd crash wont hurt the market so much

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i think it`s pretty hard to do that...

Teather is a timeeee booooomb!

I havent seen your videos. Now im following!
D.

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Well explained, thanks a lot for this great info :)
What do you think about new tether alternatives (stable coins) such as NUBITS, bitusd and the latest one DAI ?
I guess DAI is the most transperant one in them all.

I hope to get your opinion about them:D
Thank you :)

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I personally use bitusd and bitcny, and I have not looked into the other two

  ·  last year (edited)

Wait I won the delegation? Sweet, I wasn't even trying too :)
Anyways: I prefer nubits=it a decentralized usd peg.
Here why:
When demand increases, shareholders will vote to create new coins to maintain the 1:1 ratio. When demand decreases, shareholders can vote to allow coinholders to accrue interest on their investment if they agree to “park” their coins for a set period. When demand is low, speculators may see incentive to acquire and then park their coins as a high-risk, high-reward investment should demand rise again.
NuBits will enter circulation through the NuShares voting mechanism. Unlike most cryptocurrency voting systems, NuShares operates independently of the NuBits currency.
One interesting facet of NuShares is that it allows NuShareholders to choose who will receive newly-minted coins. People can submit proposals for why they should receive the coins, and NuShareholders can choose which they deem the most worthy cause. Perhaps a developer would like funding to build a project for the NuBits protocol, or a charity wants to raise funds for a cause. They can submit their proposal, and the NuShares community can debate and decide who to distribute the coins to. Info from https://www.cryptocoinsnews.com/nubits-seeks-to-end-cryptocurrency-volatility-with-usd-peg/
******Additional Price Support Innovations aka now staking
*Variable transaction fees==
The Nu network now has the ability to charge variable transaction fees for both NuBits and NuShares. Transaction fees are permanently destroyed on the Nu network, acting as a deflationary mechanism for the supply of both NuBits and NuShares. This enhancement in Nu v2.0 permits shareholders to vote to set transaction fees. Further information on the mechanics behind variable transaction fees can be found here.
*NuBits burning through the sale of NuShares==
NuShareholders voted in 2015 to allow the creation of NuShares through custodial grants. This action created an additional tier of Nu liquidity to better protect the $1.00 peg. In the event of parking rates being offered for a prolonged period of time, NuShareholders can vote to create new NuShares that are sold through auction. The proceeds from this auction would then be used to purchase NBT on the open market, at which point the purchased NBT would be destroyed permanently by the custodian. The net result would be a dilution of equity value for all NuShareholders in order to reduce the outstanding supply of NBT in circulation. This price support mechanism allows NuShareholders to reduce the supply of NBT to match periods of contracting demand.
*Liquidity pools==
In 2015 NuShareholders began to establish group liquidity pools to replace the individual liquidity providers that were originally specified in the Nu white paper. Users who are willing to provide liquidity for the Nu network can be compensated at varying rates, depending on the types of liquidity provided. For more information, please visit our Liquidity Pools page.
Info from=https://nubits.com/about/price-stability
Not bad but in June 2016 NuBits had a devaluation crisis, with the price falling to 20 cents. Its rate-pegging intervention mechanism this was due to bad teamwork between nushares. Read more about it here=https://medium.com/coinforward/nubits-a-tumultuous-stablecoin-afe94cbe9df8
They have fixed this issue and created stricter protocol. By the looks of it it was due to a rogue dev. While it not the best, I find it better than bitusd.
What I am sad about is why has no one taken my idea of a decentralized usd peg :(
https://steemit.com/bitcoin/@sames/decentralized-alternatives-to-tether
Maybe was it before i got more dedicated followers? Hmm....
But anyone read this and want to do an ico, this is for you :)

Hey!

So my thoughts on tether is that it is the same as the USD. They print as much as they want. The printed Tether and USD the USA makes isnt provably backed up by anything. They both are used to manipulate markets. They both are controlled by a few people total. Basically both are money printing machines.

Maker DAI is the solution and will eventually overtake Tethers marketcap. Maker DAI is fully decentralized with mechanisms in place to have a soft peg to the USD. The incentive structure is such that DAI only goes up or down with a few cent range. It is secured by ETH collateral that backs up the whole network.

You shoud read more about it, it is set to be the next big thing. Owning Maker also gives you voting rights for system upgrades and updates.

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Woh never heard of it! Thanks for the info, got to analysis this new project but i hope one day we won't even need fiat :)

虽然就听懂了一句,但是还是坚持看完了。
类似于sbd对标美元,USD T也对标美刀。
用处就是用token起到代替美元的作用,好处是很多银行没有虚拟币交易的服务,但是USD T可以。
缺点是USD T的所有权归美国政府,并且政府有权在任何时候收回。
所以投资USD T需谨慎,三思而后行。:)

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不错嘛 基本上就这几点

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I personally have a hard time trusting any pegged currency. Especially in a market as volatile and unpredictable as crypto.

People have a hard time trusting exchanges, let alone storing their value in a questionably "stable" cryptocurrency.

For tether to gain my trust, I would like to see it set up as a absolute guaranteed 1:1 ratio with deposits and withdraws.

If my value was backed (insured, if you will) I would feel better about trusting my investment not to depreciate. Even if i had to pay a small fee for the added insurance.

On the topic of delegated SP. I am 2 months into my journey here and have been working really hard to be an asset to the community. Having a SP boost for a week would really help achieve my goals. Thanks!

Thank you for sharing
Very informative

You make a very good point. I always looked at USDT as a great way for people who are taking their first steps in daytrading. Trading Bitcoin/USDT is kind of easy to grasp due to the 'normal' numbers.

A lot of people get easily confused by all the zero's when trading BTC into something else.

Guess it is a good thing to keep the concerns you mention in mind. Better change the USDT back into something else before going to sleep.

Thanks for the video mate, my first time watching and I'm impressed, you covered the topic really well!

The bitshares alternative ecosystem is something I'll have to look into further, I have never given it a thought up until you mentioned it.

I'd never hold USDT long term but I'm relatively comfortable holding it for day/swing trades if necessary...

As much as I agree with you that it's a ticking time bomb, I do have more confidence in it than most people tbh. They're in close relationship with Bitfinex which must bring in HUGE profits to ensure it's covered, alongside exchanges like Binance also being within their best interest to help Tether out in any way possible. I watched an interview with CryptoLark and the CEO of Binance and he said, although he hadn't seen the Tether account personally, he's confident that's it's all okay and he would help ensure things went smoothly.

I think the biggest issue is potentially the banks pulling out though.

It'll be interesting to see how things develop over time :)

Based on all the media reports I've seen, and the simple fact Tether has been subpoenaed by U.S federal regulators regarding their junk audits and fake accounting, its looking more and more like Tether is Bernie Madoff 2.0 just waiting to happen.

They previously hired the accounting firm Friedman LLP to perform an audit, which itself has proven to be a sham. After the audit was completed back in Sep, Friedman stated that Tether has over $440 million dollars in reserves, and that the Tether tokens in circulation amounted to roughly $420 million dollars.

But the results of the audit prove no real audit was ever completed, and the statements by both Friedman and Tether prove this. The financial institutions that supposedly held the reserve funds for Tether were blacked out, and when Friedman LLP was questioned about their findings, they stated they didn't bother to investigate the reliability of the data Tether provided them.

Sorry to tell Friedman LLP, but that's now how financial audits work. IN a legit audit, all financial assets would be verified, that's the whole reason we have audits to begin with. Its also the whole reason why U.S regulators are down Tether's throats right now.

There's a lot more to all of this, including the fact Tether is directly tied to Bitfinex, I guess the U.S regulators scrutiny will likely shed more light on what the heck is going on. And here Bitfinex has already been canned by pretty much every commercial bank imaginable, I think that says something. Bitfinex is a crypto exchange with no oversight and zero accountability, obviously this is a problem.

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I've never heard of them losing their banking. Do you have a source?

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Total Assets $2,248,665,722.36
That is what Tether Claims to have right now, 2.2 billion dollars and yet they say they audit but I could not find the name of their auditors (red flag). In January, apparently Tether cut all relations with its auditor????? Also on their website Tether has a separate tab for Law Enforcement Requests, (they get so many that they put a separate tab? also a red flag).
What I also found interesting is that there is no mention of what banks the funds are being held in. No mention of any deposit insurance, because it is not a bank nor a member of the Federal Reserve. (also a red flag). Finally, and most disturbing is the close connection with Bitfinex exchange. This all is a recipe for a disaster. The US government signaled last week (?) in Senate hearings the intent to begin regulation of the crypto space. The good news, regulation means legitimacy. The bad news, Crypto exchanges and holding companies will be regulated.

So, if I were your banker and I told you I just fired my auditor but here is a piece of paper I signed stating I have your money would you believe me or would you find another place to hold your money?

Caveat Emptor!

Like your post

Yea tether is not safe, Govs can take away USD easily. BitUSD is one option but there is also Gold based cryptos that is more stable than crypto :)

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Which gold based cryptos are you a fan of?

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yup, that`s a good question....

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bitgold?

It's dying. The promisary note.
As a society, we're adapting, making new ways possible to live off grid and sustain ourselves! Thanks for sharing! Have a great health!

too much money in usdt ... they pumped the market so much!!! i`m not trusting it with my money. i trully think it will go down.... stay away!

If tether explodes, I think we will directly see to consequences. First, everyone who owns USDT loses their money. Second, several hundred millions of dollars are gone from the market. I guess bitcoin will probably drop below $5k and all altcoins will also drop significantly. Besides these two direct consequences, what else? Let's see...

How do I get Traffic to my page? I have A funny Crytpo Video I did Not sure how stern quite works yet but I have 3 followers and no upvotes, comments, downvotes, etc. any insight is appreciated. I upvoted your post here PS. Thanks

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I trust that Tether is, based on latest developments, not better than actually holding any coin or token. The risk of losing it all is given at any investment in Cryptocurrency. USDT was supposed to provide safe heaven the moment you wanted to go to bed. But it turns out that it incorporates the same risk.

It is all about convenience. If you were a trader and wanted to be 100% sure (if that is possible) you would have to go short on all investments, exchange those against BTC, LTC or BCH or ETH, transfer to an exchange like Coinbase and cash out in Euro or US Dollar. This process is extremely inconvenient and takes some time to perform.

For the time to come, I can see more exchanges offering FIAT trading pairs; this would not require USDT anymore from my perspective. BUT the exchanges would have to hold their reserves in FIAT then, which is incorporating other risks.​​

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I agree tether is a scam timebomb...

I think a lot of people heard about the Tether story and are well ware of the danger, but what is the alternative? Switching to fiat in and out is not a practical option, neither is storing the value in BTC as it fluctuates so much.

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I talk about the alternative in my video

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:)

Informative video @ddangerwu.
I've two questions regarding it:

  1. You suggested an alternative of using the assets in Bitshares network. Is that safe because it uses Bitcoin instead of USD?
  2. You mentioned it's easier to use Tether for transaction purposes? It's not clear to me as to how it is so. Could you elaborate on that please?

Also, I'd love to get the SP delegation. Would help in giving my curation a better impact and I'll be able to support the quality Steemians better!
Thank you!

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Bitusd is backed by bitshares, which is platform created by @dan
Tether is like moveable usd. You want the power of usd without being told/wait to use the usd. Crypto that= $1.

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Thank you for clarifying @sames!
What kind of 'wait' is there in case of USD?

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If you want to sell in USD and withdraw you have to verify it and let it go back to bank account which can take time. Then you use that USD to buy more crypto. tether is a USD peg crypto. It acts like crypto but appears to equal to one dollar. It more of a trader tool no more

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Oh, understood.
The trader will however have to incur that waiting period only when they finally withdraw their money invested in crypto, right?

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Oh, understood.
The trader will however have to incur that waiting period only when they finally withdraw their money invested in crypto, right?

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  1. bitshare's smart assets are safer because they use a collaterized debt system, in which there is guaranteed equal value backing up the asset.
  2. you can trade tether for a lot more coins than just btc, giving you more liquidity
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  1. Got it.
  2. We could trade/buy coins with USD as well though, couldn't we? Unless there's some kind of waiting period?
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Trading to get real USD on coinbase.com and it is linked to your bank account - wire transfer to and from - is my preferred way.

greatstuff!!! :):):)

good info i have no thinking about that

we all know that this is not going to end very well..

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Tether is a ticking time bomb.

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你好,我喜欢你的帖子。 我是外国人居住在中国,我不知道如何使用bitshares购买BTC或SP,我无法在我的bitshares应用程序中找到RECHARGE按钮,你能告诉我怎么做吗?

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I think this is basically a scam, there is no way they have enough $USD to cover all the USDT in circulation, the people who sell last will be left with worthless USDT....

In my opinion it is kind of pointless to try to peg any crypto to $USD. $USD is on a slow path to hyper inflation (much like most fiat currencies that are controlled by central banks), it will eventually fail, why would you want to peg a currency to another currency that you know will ultimately become worthless...

hahaha this is good 1/3 of my money is in ustd

I like the right Sait
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Nice video when do u think tether wil explode :0?

I personally wouldn't convert any coin or Fiat to USDT. I would either obtain Bitcoin or Ethereum....if EURO is an option (some exchanges allow to trade to EURO) then that would be my third. Sure each form of payment has its risks but EURO is used in most of Europe, Ethereum and Bitcoin are considered two of the most sought out cryptocurrencies currently on the market...ups and downs aside. The last thing and actually most important is this...pick the currency that will allow you to exchange it directly to Fiat for deposit into your bank or credit card...it's nice to have a stockpile of currencies but they are only as good as how you can use/cash them.

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I agree with you.

i enjoyed that clear and layed back style ! i m on bitshares and using the bitusd system ! id imagine the folk in the federal reserve hate the bitshares version even more because of its decentralized nature which theoretically makes it harder to take down ! id imagine they have their eyes on this assett too !

Bitfinex/Tether generates massive profits everyday. I don't think they will mess it up.

Bitfinex 24 hour fees on transfers & trades = $1,134,419,856 Interest on margin= $2,000,000/day at least!

Tether has huge volume like Ethereum. Unlike Fiat money, Tether does't need anything to back it up, neither gold, nor oil or anything else.

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I like your comment, this is exactly what I think.
Especially, CEO of Bitfines is the same CEO of Tether and the same team leaders.

Once Bitfinex is growing everyday, I think will grow too :)
But we have to be careful.

Fine video thanks for the post! Prefer having USD in the DEX then buying BTS with it!

The Tether FUD got me to sell around 11k BTC/200LTC, bought some more BTC at 6.8k, not complaining.

I consider tether as a currency issued by FED kind of authority. We the people of new world should allow it to flourish so that we have a stable cryptocurrency that we can use at ease for hedging our crypto investments to provide them stability.

So tether can be a FED for crypto world- only condition is we have to allow it.

Stop using USDT and use DigixDAO (DGD). Not only are you avoiding the potential implosion of tether but you're buying a gold-backed crypto which always spikes when BTC goes down. It might even be an opportunity to gain satoshi value.

Interesting, started following you bro!

Follow me back if possible?

orly

This makes a lot of sense and I appreciate the heads up. I saw that USDT was available to use on Binance and other exchanges. I was about to go purchase some and the portal was down for new signups. I think I'll stay away.

"So my thoughts on tether is that it is the same as the USD. They print as much as they want. The printed Tether and USD the USA makes isnt provably backed up by anything. They both are used to manipulate markets. They both are controlled by a few people total. Basically both are money printing machines."

IN replying to your comment. What most people keep forgetting is the USD is backed by the Military.

As trading pair options increase across exchanges the burden of tether diminishes IMO. Thanks for the post! Steem On!

go through my profile

USD tether delighted to the summary of present which acts as timebomb because of not for cashout ...for why i think BitUSD is well than others...
@upvoted @resteemit

That's a great crypto news

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interesting and beautiful sharing

So many rumors around by getting chased. Some say they try to find the user to pay taxes. I saw my friend still mumbling about it any way me myself did not use the tether after seeing some issues about it.

I feel like when this tether situation blows up we could see a huge adverse effect on the market as a whole

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yes, that will be the case for the short term.

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usdt bence btc sonunu getırmek ıcın cıkarıldı hemen kaldırılması lazım

The tip at the end about Bitshares was awesome. Here is something else that is important, keep track of the exact time and date of all of your crypto transactions in a secure offline location. Access to online resources such as exchanges or email can change in the blink of an eye so you need this info backed up in a secure offline location too. This is so you can be able to determine your tax basis at a later point in time. This could be critical if you want to use your cryptowealth to make a large purchase such as a house or car. You also may want to consider saving some sort of proof of your current location when you make transactions because this could end up saving you money down the road if you end up living in different country later.

Congratulation @sames become the winner.
Your Video presentation was really good @ddangerwu. Thanks for sharing the link @SmartSteem.

Don't worry. This bomb will drop perfectly timed to crush yet another bull run.

@ddangerwu - it is all good explanation until ... what you glossed over - smart assets on bitshare: bitUSD, bit EUR, etc., so, how are they different or better than USD tether?
In the end, I would HODL on to major VA or CC such as BTC, ETH, LTC and USD (not USD tether or any other crypto-cash / fake fiat).

Alternatives to exchanging to USD tether:

  • USD fiat (at coinbase.com)
  • BTC / ETH / LTC
  • Steem and then park / HODL here and Power Up

Tether is the biggest scam in crypto after Bitconnect

You think USDT is a ticking timebomb? I heard Sia Coin is the same. Can you investigate?