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Tether Withdrawals Top $10B

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Re: Tether Withdrawals Top $10B

#121

Post by rglullis »

askmike wrote: post #92
Ekaros wrote: post #74

Earlier quoted context omitted.

It is specially relevant to get out as there is no upside or very minimal upside... Why ever hold tether... If real money is an option.

USDT is the fuel that powers a lot the crypto ecosystem. Good luck trying to move USD around between different places in the crypto ecosystem (especially outside office hours). While possible it's complicated, slow and has terrible uptime. The biggest crypto markets in the world are quoted in tether.

Fiat-backed, collaterized stable coins that are better than USDT

  - USDC (Circle USD)
  - GUSD (Gemini USD)
  - BUSD (Binance USD)
  - EURS (Stasis EUR)
Crypto backed (overcollaterized) stable coins that are soft-pegged and better than USDT

  - DAI (MakerDAO)
  - sUSD (Synthetix USD)
  - sEUR (Synthetix EUR)
No one needs USDT anymore. The fact that even Binance gets more credibility than Tether should tell you how scammy the people still trading USDT really are.

Re: Tether Withdrawals Top $10B

#122

Post by rglullis »

dougmsmith wrote: post #113
arcticbull wrote: post #61

Earlier quoted context omitted.

This is honestly the most asinine remark. Tethers are supposed to be backed by $1 in assets. You're complaining that dollars are created out of nothing - they're not, of course, but even if they were: When Tether holds less than $1 of backing assets for each $1 of USDT in circulation it's worth strictly less than the $1 you're deriding. It is this gap we're talking about. So your comment isn't just wrong, it's comple…

Quoted post unavailable.

Are you really trying to defend Tether by saying they are no different than the banks and that they are applying the same tactics from the fiat-system?

By your own standard, if the existing system is so broken and morally corrupt, why do you think it is right to defend Tether?

Tether started with the promise they were fully 1:1 backed with USD. They broke this promise. Later they came up with "collaterized with a basket of assets", which was also a lie and they required re-capitalization [0]

How long are you going to keep lying to yourself and trying to defend a company that is run by criminals?

[0]: https://www.kalzumeus.com/2022/05/20/tether-required-recapit...

Re: Tether Withdrawals Top $10B

#123

Post by kravvall »

charcircuit wrote: post #116
ATsch wrote: post #87

Earlier quoted context omitted.

I have absolutely no way to substantiate this, but I feel like if you needed to be able to say that you technically had a few billion in reserves as cheaply as possible but didn't actually think you'd ever need to liquidate it, buying the riskiest debt you could might be a great way to do that.

I'm not following your logic. $1 worth of debt is worth $1 no matter how risky it is. The risk is built into how much it is worth. Risky debt is high risk high reward. Since these funds are backing a stablecoin it doesn't make sense to go for high risk plays with that much money.

Risky debt asks way fewer questions where the money is from you lend them.

Re: Tether Withdrawals Top $10B

#125

Post by dougmsmith »

rglullis wrote: post #122
dougmsmith wrote: post #113

Earlier quoted context omitted.

Quoted post unavailable.

Are you really trying to defend Tether by saying they are no different than the banks and that they are applying the same tactics from the fiat-system? By your own standard, if the existing system is so broken and morally corrupt, why do you think it is right to defend Tether? Tether started with the promise they were fully 1:1 backed with USD. They broke this promise. Later they came up with "collaterized with a bas…

No post body was provided.

Re: Tether Withdrawals Top $10B

#126

Post by medo-bear »

sgt101 wrote: post #120
Axsuul wrote: post #111

Earlier quoted context omitted.

None of these things matter at all. Thanks to the US military, USD as the reserve currency remains.

Agree - the power to open markets, guarentee acccess and obtain resources is what underpins it. As the Russians are showing us, no one else has a fraction of that capability.

whether we like it or not the us ability to carry on unchallanged has noticably diminished in comparison to the period from 1990 to 2010

also ... if ukraine-russia conflict is showing us anything it is that the natural resources question is far from certain. if we are to learn from history we would hastily take note that it is the question of resources that brought about the first world war

Re: Tether Withdrawals Top $10B

#127

Post by medo-bear »

Axsuul wrote: post #111
medo-bear wrote: post #58

Earlier quoted context omitted.

> define fast as in the order of things in the world is changing so fast we have little time to analyze root causes. some examples we went from being too scared to visit family because of a flu virus to pumping our chests against a super power in a blink of an eye the us just approved a massive military package to ukraine that dwarfs anything given to israel and at a time us has trouble getting baby formula forget cr…

None of these things matter at all. Thanks to the US military, USD as the reserve currency remains.

of course it matters. it devalues the us dollar as a stable reserve

Re: Tether Withdrawals Top $10B

#128

Post by phphphphp »

jules-jules wrote: post #103
phphphphp wrote: post #98

Earlier quoted context omitted.

Something I’ve been wondering is how Tether, which has a very difficult history of banking, has been able to pay out billions of dollars in USD in a few days (regardless of having it — even if they had it, I assumed it would be very difficult). Can you share how your USDT was redeemed — was it to USD from a US banking institution (a wire?) or some other mechanism? Thank you!

Their are principally using San Diego-based Silvergate Bank https://www.silvergate.com/

thank you! Very interesting. According to their latest financial reports, their volume of deposits doesn’t marry up with the claims made by Tether. Will be very interesting to see what Silvergate report as inflows/outflows at the end of the next quarter.

Re: Tether Withdrawals Top $10B

#129

Post by rglullis »

dougmsmith wrote: post #125
rglullis wrote: post #122

Earlier quoted context omitted.

Are you really trying to defend Tether by saying they are no different than the banks and that they are applying the same tactics from the fiat-system? By your own standard, if the existing system is so broken and morally corrupt, why do you think it is right to defend Tether? Tether started with the promise they were fully 1:1 backed with USD. They broke this promise. Later they came up with "collaterized with a bas…

Quoted post unavailable.

No post body was provided.
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