Tether is Apparently Fully Dollar Backed Afterall
Tether has the funds to convert all USDT into USD according to bank statements seen by Bloomberg which claims the veracity of these USD funds has been confirmed by an unnamed...
This is an interesting story stating Tether is fully backed by dollars in a bank. Yet the documents are not seen and it seems to be confirmed by bloomberg with no statement on why they "know".
I thought I would share it, but I certainly wouldn't call it news.
Source of shared Link
@whatsup,
There are 4 stable coins at top 50 CMC at the moment! Anyway USDT is at the top of all so this might be a good news for all of us! Thank you!
Cheers~
If we check the security provided by other stable coins, it becomes very obvious that there is something amiss about the way USDT conducts its business. For instance PAX coins on its website (paxos.com) provides, among others, the following asssurance:
"The entire supply of PAX is collateralized by USD in dedicated omnibus cash accounts at FDIC-insured U.S. banks. Nationally top-ranking auditing firm Withum performs attestations (using standards established by the AICPA) on these accounts and the PAX tokens on a month-end basis to ensure they are consistent."
Until today, USDT is unable to provide such confirmation from an national or international top-ranking auditing firm.
Oh interesting and you used dlike! What do you think about the dapp?
I like it, I am of the opinion discussing current news and stories is fine. Although I know many feel conflicted about it.
This is great news. One thing that became apparent to me when Steem convinced me to dip my toes into crypto was if they uncovered fraud on the part of Tether, the blow to the exchanges would be huge. It would ripple through all crypto, as many fell like dominoes.
Not sure if they are telling the truth, but to have one of the so called "real news" outlets saying it does much for the perception anyway.
The move to gain more clarification is positive considering that it has become a Top 5 token! Naysayers may hate but it has so far outperformed then all! I will continue to wait on the sidelines...
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I asked my dog if Tether is backed by USD and he kind of barked so I guess it's true.
We've been through this before. Someone seeing bank account balances does not mean Tether is fully backed. An audit needs to cover assets AND liabilities. There is nothing short of an audit which would prove Tether is solvent and fully backed.
Tether should also not be earning interest on the reserves, because they're supposed to be full reserves, not fractional reserves that can be lent out for interest. If Tether is earning interest on the reserves as the article suggests that itself is a major red flag.
Yeah, I found the article to be printed gossip. But it is everywhere and the "news" matters to crypto.
After all that broken peg drama, the arbitrage they’ve been nailed with by traders in exchange and the audit who would have thought? Well there’s plenty of Stabelcoins popping up now so we have options! I think 2019 is going to be a big year for stable coins and STOs
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