Approx. 24 hours ago, Tether printed 1B $USDT out of thin air

Post by FDSGSG » Sun, Dec 05, 2021, 11:36 PM UTC

qeternity wrote: post #169

FDSGSG wrote: post #167

Earlier quoted context omitted.

> but usually good actors have an abundance of mitigating evidence at their disposal You must be joking. That's not how it works when the government has you in their crosshairs. >and it's usually just easier to say "here's the evidence, we're not guilty". And then the government will spend years and millions of dollars trying to poke holes in that evidence of innocence. Anyone who follows the news has seen this repea…

I am talking about white collar crime, which tends to be much more black and white than terrorism. And no, the government doesn't have a history of spending millions in trying to chase frivolous cases. Has it happened? Sure. But prosecutors are graded on their closure rate which is why you see so many settlements. The last thing they want is to waste millions on a witch hunt. You only see the bad. You say "anyone who…

Post by otoburb » Sun, Dec 05, 2021, 11:40 PM UTC

rglullis wrote: post #161

seibelj wrote: post #135

Earlier quoted context omitted.

I worked at Circle. If you think that Jeremy Allaire is going to go to federal prison, you are out of your mind. Their combined in-house plus external legal teams are larger than 95% of the YC startup headcounts. The US government has been all over them for years.

As someone who worked at Circle, how comfortable would you be if you held a significant percentage of your savings as USDC? Same question, but for USDT, DAI and hard-cash-in-hand?

Post by tzone » Sun, Dec 05, 2021, 11:52 PM UTC

qeternity wrote: post #150

tzone wrote: post #147

Earlier quoted context omitted.

Nah, most of USDT is on TRC20 because gas fees are way cheaper there and most of the exchanges support withdrawing USDT using TRC20. So all arbitrageurs, market makers, etc, transfer USDT between different entities through TRC20 network. USDT on TRC20 started to increase only after Ethereum gas fees got ridiculously high and it became too expensive to use even for pretty high volume market makers.

Absolutely not. Large Tron issuances started well before Ethereum gas fees soared. We are talking a couple of years ago. Also, market makers moving Tether around do not give two shits about $60 in gas fees or whatever. Additionally, a huge amount of Tether has gone into DeFi on Ethereum and L2s (or bridged to newer L1s, which typically don't have a Tron bridge).

Post by rglullis » Sun, Dec 05, 2021, 11:54 PM UTC

otoburb wrote: post #173

rglullis wrote: post #161

Earlier quoted context omitted.

As someone who worked at Circle, how comfortable would you be if you held a significant percentage of your savings as USDC? Same question, but for USDT, DAI and hard-cash-in-hand?

What purpose would somebody have to keep a significant percentage of their savings in USDC, which isn't subject to FDIC protections? The same logic would extend to anything else that is a similar digital cash-equivalent. Given the purported 1:1 peg with the USD, there is no advantage to holding any cash savings in USD[C|T] form.

Post by rchaud » Mon, Dec 06, 2021, 12:06 AM UTC

gruez wrote: post #88

superjan wrote: post #31

Earlier quoted context omitted.

Beyond the fraud allegations, the idea that an organisation can just print extra money as they see fit, doesn’t that go against the principles of crypto finance? I am genuinely curious why people think that is a sustainable idea.

>Beyond the fraud allegations, the idea that an organisation can just print extra money as they see fit, doesn’t that go against the principles of crypto finance? or maybe the crypto community isn't a monolith, and all the cryptoanarchists aren't the people who hold/support tether?