Tether price manipulation

Post by therein » Fri, Jan 08, 2021, 4:48 PM UTC

beaned wrote: post #226

qeternity wrote: post #15

The problem is that in the early days of @Bitfinex'ed this was all a bit of a sideshow because there was genuinely large interest from retail and the outcome of crypto was far less certain. However three years on, crypto still does not have a "killer app" and is 99.99% used for speculation. Bitcoin's narrative has had to morph from "digital currency" to "digital gold". But in the depths of the March panic, Tether jum…

How do you square this with the observation that other fiat-backed stablecoins like USDC, which are obviously legitimate, are also printing massively? It would seem to me that if transparent stablecoins with utility are going up, the simplest explanation for tether going up is that it serves the same role for people who have either become accustomed to it from its earlier availability, or have it as their only option…

Post by chaostheory » Fri, Jan 08, 2021, 4:49 PM UTC

njarboe wrote: post #241

fuzzylightbulb wrote: post #191

Earlier quoted context omitted.

> backed by literally nothing It is the only thing the government accepts for tax payments. Given that you can be arrested for not paying your taxes it is "backed" by the barrel of a gun, a threat to your very being. In one sense this is the only real thing there is.

Gold and silver became money for similar reasons (probably). Kings and Emperors found that supplying their armies was much easier (especially in peace time) if they used the method of taxing the population in gold and/or silver and then using that to pay their soldiers who would supply themselves on the open market. That way you did not have the standard problems of a planned economy. The peasants have now need for g…

Post by marfusios » Fri, Jan 08, 2021, 4:52 PM UTC

shuckles wrote: post #254

marfusios wrote: post #248

Earlier quoted context omitted.

That's gonna be the killer app, low-cost global payments, finally we can accept international payments from non-crypto customers without ridiculous SWIFT or PayPal fees... https://jimmymow.medium.com/announcing-strike-global-2392b90...

Most global payments are transactions, not cash transfers, and the transacting parties have banking relationships that make those transfers low cost and strictly superior to Bitcoin.

Post by [deleted] » Fri, Jan 08, 2021, 4:56 PM UTC

user22 wrote: post #135

JohnJamesRambo wrote: post #119

Earlier quoted context omitted.

The killer app for Bitcoin is escaping government fiat money that is backed by literally nothing at all and is being printed at increasingly alarming rates. 40% of all USD ever created were “made” in 2020. That will have repercussions for decades and isn’t a currency I want to stay in. https://fred.stlouisfed.org/series/M1 Ironically (or not) Bitcoin was created in 2009 right when that graph gets really crazy.

I have a question, isn't the problem with the gold standard that the amount of dollars is fixed and in order to have enough currency to drive a rapidly growing economy you would in essence be buying a gallon of milk for .25 cents? It seems to me that either you the amount of currency in circulation needs to increase or the value of the existing currency needs to increase. Taking into account the gold standard was use…

Post by benibela » Fri, Jan 08, 2021, 4:59 PM UTC

tomwojcik wrote: post #7

dsr_ wrote: post #2

While correlation is not causation, correlation is evidence for causation... and there's a lot of correlation in those graphs.

It literally is not.