Tether (USDT) price falling to $0.95 • Hacker News Board

Re: Tether (USDT) price falling to $0.95

#91

Post by russdpale » Mon, Oct 15, 2018, 10:05 PM UTC

JumpCrisscross wrote: post #51

bmh wrote: post #49

Earlier quoted context omitted.

A major use of USDT is that you can sell your cryptos when they're high, converting them to USDT, which holds it's value. Then, when the crypto prices drop, you buy in again, and repeat. By keeping it entirely in the crypto space, your country's tax system can't charge you for capital gains.

> By keeping it entirely in the crypto space, your country's tax system can't charge you for capital gains This is blatant, willful and permanently-documented tax evasion, an amusing combination of illegality and stupidity.

Havent you heard? In America this is just plain smart!!

Re: Tether (USDT) price falling to $0.95

#92

Post by RobLach » Mon, Oct 15, 2018, 11:52 PM UTC

JumpCrisscross wrote: post #61

teilo wrote: post #58

Earlier quoted context omitted.

No, it’s not. It means you don’t pay capital gains when you’re merely exchanging one form of crypto for another. You have not realized any gains until you have converted your crypto into real assets. Converting from one form of crypto to another for the purposes of arbitrage only delays the taxes. It never eliminates them. This is really no different than selling and buying stocks in an IRA account.

> You have not realized any gains until you have converted your crypto into real assets You transacted into (what you believed was) a proxy for cash. That's obviously selling. Every tax jurisdiction has rules about this because every tax jurisdiction has idiots who thought they'd found a clever workaround. (I think the first American one involved a guy in the 19th century selling property for the key to a lockbox ful…

I feel that people believe that they can get away with things because they imagine a situation where you can argue on a technicality and get away with it.

In reality if they want to punish you for this they'll see right through it. Loopholes are only loopholes because there's an established history of authorities not willing to enforce it (brown paper bags around liquor bottles, "Suggested Donations").

Re: Tether (USDT) price falling to $0.95

#93

Post by cbau » Tue, Oct 16, 2018, 8:03 PM UTC

Obi_Juan_Kenobi wrote: post #88

cbau wrote: post #86

Earlier quoted context omitted.

I never really understand this claim, but also don't have a deep expertise in AML/KYC. How does Tether help here?

The situation isn't too complex: Bitfinex is a crypto exchange that had difficulty finding banks that would work with them. Banks are regulated and expose themselves to a great deal of liability if they provide banking for services for illegal endeavors. As you can imagine, some crypto exchanges are deemed too risky. Tether and Bitfinex are the same thing, though both will vigorously deny that, but it's patently clea…

Thank you for that answer!

Would you mind briefly expanding on "Because it's so clear that Tether is simply used as a way to circumvent AML/KYC"? Not being contrarian, I just don't understand how this part works.

Re: Tether (USDT) price falling to $0.95

#94

Post by parliament32 » Tue, Oct 16, 2018, 8:11 PM UTC

jpatokal wrote: post #19

I built this site in February this year in anticipation: http://www.untether.space/ The spread between Bitcoin priced in Tether and Bitcoin priced in USD has been holding steady at For the curious, source at https://github.com/jpatokal/untether and also submitted as a Show HN at https://news.ycombinator.com/item?id=18219034 .

This is very nice, thanks for taking the time to make this! The only complaints I have are 1) a history in the graph would be nice, and 2) lack of HTTPS.

Re: Tether (USDT) price falling to $0.95

#95

Post by A2017U1 » Wed, Oct 17, 2018, 12:31 AM UTC

joshstrange wrote: post #90

A2017U1 wrote: post #81

Earlier quoted context omitted.

> anonymously traded Where exactly does anyone claim that? They have a team of lawyers and access to all the regulators by virtue of being such a huge exchange. Do you honestly believe they haven't consulted widely on this?

> They have a team of lawyers and access to all the regulators by virtue of being such a huge exchange. Do you honestly believe they haven't consulted widely on this? I'll get back to you in a few days when I finish laughing... MtGox was also a huge exchange, I think the only sane thing to do at this point with Cryptos are to assume all exchanges are stupid, aren't solvent, haven't consulted lawyers, and/or don't kno…

The sheer ignorance surrounding cryptomarkets is quite staggering. I'm first to call a good part of it a sham but simply writing off everyone is naive, low effort discourse.

Gemini is owned by the billionaire Winklevoss twins, its based in and regulated by NY, the most notoriously heavy handed cryptocurrency jurisdiction on Earth. Many exchanges won't even do business with customers from NY.

Think it's fair to say that they're not "stupid"