About Tether and Bitfinex

in tether •  2 years ago 

Tether is a crypto-currency always worth 1 USD. That's the idea of the currency, that's also their use case: to be a safe haven when other crypto's are dropping in value or when you want to park your assets with virtually no risk of the value in USD going down. When Tethers are bought with USD, the USD should stay in Tether's bank accounts to back the USDT, so the thing works.

I've been following the Tether and Bitfinex news the past days. Didn't really want to post things here, because I think there's no need to spread FUD. But as Tether is printing more and more USDT, some things are becoming necessary to know:

  1. You can buy one Tether with USD, but you can't redeem USDT for USD anymore
  2. There is no proof to show that there is backing in USD for USDT
  3. Tether is issueing 100 million Tethers now almost every day (total now more than 2 Billion USDT)

It seems every time the Bitcoin price goes down to about 10K USD, Tether comes in, prints some new USDT, buys up Bitcoin and the value of Bitcoin rises substantially that day, breaking the downtrend. To me, it seems like the Tether / Bitfinex whales are manipulating the market in the biggest pump and dump scheme seen so far in crypto.

Image courtesy of @overkillcoin

So is Tether blowing a big bubble into the crypto space? It's hard to tell. Twitter Influencer @Bitfinex'ed definitely thinks so. But many are critical of his viewpoints as well. So reading up about this I stumbled upon Youtube channel SibertSpace who deftly picks up a lot of arguments on both sides. I'm still a bit more critical than he is about the whole Tether situation, but it's definitely nice to see people look at a complicated subject and try to view it through different angles before drawing conclusions too soon..

(btw, I'm hopping on Discord now to tell this guy to start posting these vids on dTube / Steemit, that'll be a nice upgrade for him I think)

Check out his viewpoints:

Authors get paid when people like you upvote their post.
If you enjoyed what you read here, create your account today and start earning FREE STEEM!
Sort Order:  

Have you bought any EOS yet? :P

Yeah I did, my timing was all wrong (figures):

"On 21 January 2018 during the 214th EOS ICO period, F2Pool, the Bitcoin and Ethereum mining pool which accounts for ~25% (https://etherscan.io/stat/miner?range=7&blocktype=blocks) of the Ethereum network’s hash power, purchased just under 215,000 EOS at $18.0889 per token bringing their total EOS holdings to 227,077 or $3.13 million at current EOS market value of $13.77 each. Their contribution helped make this round the second most expensive ever (#2 @ 41.17 per ETH). At time of writing, they are the 257th largest EOS holder in the world."

Of course, on the same day I bought my EOS tokens. Story of my life.

But, I got some!

haha ops @fitzgibbon. I spread my purchase over a week. But in the scheme of things...if (when!) EOS goes to the moon, it's not going to matter so much whether you bought at $10 or $13.

You cannot keep upvoting me like this, it's payback time.

Ha, I have to spread it around. Steem is like manure.

I am asking my husband to buy EOS for months now........ Still not.

USDT always seemed suspicious to me.. But the concept behind Tether is very creative and could be valuable if used honestly without any intention of Scamming their customers.. Exchanges getting hacked has been common but Bitfinex tried to repay back the people who lost their money in a creative way, unlike Mt Gox who just disappeared making many of their clients go homeless.. but I'm still very suspicious about USDT as they are creating huge new supplies everyday.. and we are told for every Tether they are keeping 1 USD saved as backup but we never saw any evidence.. perhaps they are creating 100,000 Tether but keep 1 USD to back that up? who knows what the truth is but only time can tell

Hey @fitzgibbon seems that you posted this after two long weeks. Trust steemit things are good at your end. Thank you for letting me know these Tether and Bitfinex cryptos existence.

Oh yeah, things are good, life is happening and I felt a bit not so inspired to post. Usually I think it's better not to post vs just posting for the sake of posting..

Much better and yeah I agree it's better to calm than just posting unusual stuffs. Good day ahead and keep thinking new promotional ideas. I inspired your #thunderclap idea.

This post is an informative valuable post.We can gather a lot of information by your post.
By dint of, we can increase our skill that is beneficial for all steemians
@Resteem & upvote has done.

@fitzgibbon thankyou so much for this information .... And keep sharing more about crypto this gives me confidence to invest my time and money when I feel bit scared to do so