Worries Grow That the Price of Bitcoin Is Being Propped Up
1–10 of 72 posts
Re: Worries Grow That the Price of Bitcoin Is Being Propped Up
#2'But Mr. Krug, at Pantera Capital, said that if Tether were really being used by investors, they would probably also want to buy new Tether when the markets were going up, which has not been the case. Also, they would not always want it in exact increments of $100 million, as has been the case.
“After you see this enough times, you just start to wonder what’s really going on here,” Mr. Krug said.'
I'd listen to the folks at Pantera, they are pretty sharp.
Re: Worries Grow That the Price of Bitcoin Is Being Propped Up
#3'But Mr. Krug, at Pantera Capital, said that if Tether were really being used by investors, they would probably also want to buy new Tether when the markets were going up, which has not been the case. Also, they would not always want it in exact increments of $100 million, as has been the case. “After you see this enough times, you just start to wonder what’s really going on here,” Mr. Krug said.' I'd listen to the f…
... and they happen to own several crypto hedge funds.. wonder what their strategy is if they think something suspicious is happening.
Re: Worries Grow That the Price of Bitcoin Is Being Propped Up
#4If tether pops, what happens?
Do people try to cash out immediately or do they flock to the "stable" coins like BTC or ETH?
To my knowledge the only thing you can trade tether for is other cryptocurrencies.
Re: Worries Grow That the Price of Bitcoin Is Being Propped Up
#5"Long before news of the subpoena, Bitfinex, which is believed to host more trading than any other Bitcoin exchange in the world, had gained a reputation for a lack of transparency and a confusing structure, with European executives, offices in Asia and registration in the Caribbean."
Oh boy this sounds like the banking system I was hoping cryptocurrencies would supersede...
Re: Worries Grow That the Price of Bitcoin Is Being Propped Up
#6> Also, they would not always want it in exact increments of $100 million, as has been the case.
Not to question the Tether story but I don't understand this line of argument. What is the problem with exact increments?
Sure, the tokens have to be issued only if the issuing conditions are met. But given the number of hacks, wouldn't people want to use the issuing account sparingly? You know, use the issuing account to issue tokens in fixed increments to build up reserves. The move these reserves to be held in another account.
Re: Worries Grow That the Price of Bitcoin Is Being Propped Up
#7'But Mr. Krug, at Pantera Capital, said that if Tether were really being used by investors, they would probably also want to buy new Tether when the markets were going up, which has not been the case. Also, they would not always want it in exact increments of $100 million, as has been the case. “After you see this enough times, you just start to wonder what’s really going on here,” Mr. Krug said.' I'd listen to the f…
... and they happen to own several crypto hedge funds.. wonder what their strategy is if they think something suspicious is happening.
To spread FUD so that prices are lowered and they can buy coins cheap?
Edit: So looks like attempt at humor lacked the /s tag attracting downvotes. So let me clarify, the answer to the above post asking "what will do they next?" If they believe in cryptocurrencies they will buy more if the prices are cheaper.
Re: Worries Grow That the Price of Bitcoin Is Being Propped Up
#8Reposting from another thread:
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As my coin has zero transaction cost and instant transactions (it's a badass coin), I traded it back and forth with myself 100 quadrillion times.
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Re: Worries Grow That the Price of Bitcoin Is Being Propped Up
#9If tether pops, what happens? Do people try to cash out immediately or do they flock to the "stable" coins like BTC or ETH? To my knowledge the only thing you can trade tether for is other cryptocurrencies.
We have Coinbase/GDAX, and now Robinhood and Square Cash doing BTC (and other currencies) to USD, so that's becoming a legitimate option.
I've always wondered though - how do you move multiple hundreds of thousands of dollars worth out to fiat in a single instance? Is that possible?
Re: Worries Grow That the Price of Bitcoin Is Being Propped Up
#10If tether pops, what happens? Do people try to cash out immediately or do they flock to the "stable" coins like BTC or ETH? To my knowledge the only thing you can trade tether for is other cryptocurrencies.
If tether pops suddenly, such as by the revelation that the supposed dollar account backing it was a sham, there may not be any cash to out. Simply no one will buy it, or only for pennies on the dollar.
Alternately, it might drag down other currencies by taking away the illusion of easy crypto-to-dollar exchange that tether offered, but other than that the dominant effect would likely just be investor panic.
So, no one knows how things will turn out! Such is finance. It makes for fun stories, at least.