Hacker News Board Hacker News, browsed like a classic message board
Live data from Hacker News

$1M bounty for details on Tether’s backing

hindenburgresearch.com

Post reply on HN
Print view View original

251–260 of 326 posts

Re: $1M bounty for details on Tether’s backing

#251

Post by jcranmer »

sumedh wrote: post #237
jfrunyon wrote: post #226

Earlier quoted context omitted.

Your point being? There are many, many ways for businesses to hide their insolvency, for years[1], or even decades[2]. [1] https://en.wikipedia.org/wiki/Wirecard#Scandal_and_insolvenc... [2] https://en.wikipedia.org/wiki/Madoff_investment_scandal

Read OP's point, he/she claimed that a 5% drop in the price of Bitcoin would make Tether literally insolvent, that did not happen when BTC went from 60K to 30K

Insolvent doesn't mean that the company folds up shop immediately. As the person you're replying to points out, it is possible (if unethical) to lie about being insolvent.

And, as the other reply to my comment pointed out, there's a decent likelihood that Tether is actually already insolvent and is doing creative accounting to get the numbers to appear to come out to solvency. 100.2%--especially when a significant amount is in as volatile an asset as cryptocurrencies during an upswing--seems too precisely close to 100% to me to not involve some amount of shenanigans.

Re: $1M bounty for details on Tether’s backing

#252

Post by speedybird »

fnordfnordfnord wrote: post #245
ctvo wrote: post #122

Earlier quoted context omitted.

> Hindenburg is not the real deal. If you think Hindenburg is the real deal you should pay closer attention to their activities. They (he) are one of a number of noisy short sellers who try to drive stock prices with their tweets/reports. SEC should be doing things to these people. https://hindenburgresearch.com/about-us/ Which of the items listed there do you have an issue with? Hindenburg were the folks who gave us…

Yes, he has a website where he pats himself on the back for all of the good calls he's made. I've seen it. Ask yourself, why does a short seller need public confidence at all? It's because they want to be able to move the stock price when they publish something.

> It's because they want to be able to move the stock price when they publish something.

Publicity helps move the market which is how they make money. Why do you think that make [him|them] illegitimate? You've not explained this part. It seems to me that you've got an axe to grind with short sellers in general. Hindenburg seems to clearly be "the real deal", whether or not you approve of what "the real deal" is.

Re: $1M bounty for details on Tether’s backing

#253

Post by fnordfnordfnord »

keefe8 wrote: post #151
fnordfnordfnord wrote: post #113

Earlier quoted context omitted.

ATH is 64.8k iirc, so nearing ATH but not there yet. Watch tomorrow, First day of open trading for BITO ETF, might see a new ATH.

Wasn't today (Oct 19) the first day of open trading?

I don't think it was available until after hours, but don't kill me if I'm mistaken, I didn't try to buy any, nor have I paid that close of attention. My understanding is that it should be available on most brokers tomorrow AM.

Re: $1M bounty for details on Tether’s backing

#254

Post by cmckn »

lvl100 wrote: post #33

Sadly the scheme behind crypto extends well beyond tether. This is what happens when you have money sloshing around unregulated market with very loose margin and leverage limits, free money afforded by central banks, and an absolute mania.

For sure. The circular dependencies and the turtles-all-the-way-down nature of the crypto ecosystem is kind of terrifying to behold. Like watching a car crash. I have a feeling that this all will unravel exactly as everyone has predicted; but at a time no one expects.

Re: $1M bounty for details on Tether’s backing

#255

Post by speedybird »

fnordfnordfnord wrote: post #240
wpietri wrote: post #120

Earlier quoted context omitted.

Oh? Why should the SEC do anything? If it's wrong to talk about a company in hopes of affecting the stock price, shouldn't Elon Musk be doing hard time?

1. Because that's market manipulation. 2. SEC did something to Musk, maybe you forgot, maybe you don't think it was enough, but they did something.

> "The US Securities Exchange Act defines market manipulation as "transactions which create an artificial price or maintain an artificial price for a tradable security"."

They are 'manipulating the market' in an informal sense, but not in the sense that actually matters. There is nothing wrong with publicly stating that you think some stock is overvalued. Particularly not if you back up your claim with some evidence, which is what Hindenburg does.

Re: $1M bounty for details on Tether’s backing

#256

Post by BobbyJo »

hackingforfun wrote: post #247
manquer wrote: post #153

Earlier quoted context omitted.

Each scam is draining some money from the market. All these scammers are siphoning of real money from the ecosystem each time. Fanatic and devoted fans there maybe, however they don't have limitless fiat money to play with. In the recent past, new found mainstream popularity has fueled inflows into all kinds of crypto products sustaining the strong bull runs despite significant and clear risks. This popularity has li…

How do you feel about stocks that have completely unrealistic P/E ratios? Is that not the same speculation that happens in crypto? And yes, I agree, prices don't go up unless people are putting more in, but I'm just saying that crypto is not unique here. Yes, traditional companies can liquidate their assets, but my point is, a lot of what's going on in stocks, at least ones greatly differing from traditional P/E rati…

Stock P/Es, while high, have a non-zero denominator, so it's hard to consider the same as crypto speculation. I think both have a lot of the same driving factors (low interest rates, get rich quick culture, etc.), but, to me at least, crypto is a much riskier endeavor considering the net negative nature of its value.

Re: $1M bounty for details on Tether’s backing

#257

Post by jfrunyon »

dsjegkl wrote: post #234
jfrunyon wrote: post #225

Earlier quoted context omitted.

And yet their assets:liabilities ratio is still approximately "#DIV/0!" times that of Tether.

I highly doubt Tether has embezzled 100% of their assets.

I highly doubt you know what "approximately" means.

Re: $1M bounty for details on Tether’s backing

#258

Post by chii »

cdolan wrote: post #118
fnordfnordfnord wrote: post #94

Earlier quoted context omitted.

>Hindenburg is the real deal. Hindenburg is not the real deal. If you think Hindenburg is the real deal you should pay closer attention to their activities. They (he) are one of a number of noisy short sellers who try to drive stock prices with their tweets/reports. SEC should be doing things to these people. That said, he is probably right about Tether. Tether should make every crypto speculator or holder very nervo…

They were right about Nikola and Lordstown Motors. I’m a Hinden-believer I suppose

you don't need to be a faithful believer - evidence speaks for itself. If hindenburg presents a short thesis, they would need to provide evidence in their papers.

No one should be blindly believing them, just because they have a good past record.

Re: $1M bounty for details on Tether’s backing

#259

Post by drexlspivey »

superfunny wrote: post #80
JumpCrisscross wrote: post #70

Earlier quoted context omitted.

> Shorting Tether is a great play Why do you think there will be a functioning market to pay you out if and when it collapses?

Or that the person from whom you borrowed Tether to put on your short position won't demand it back while it is collapsing.

That’s the whole point of shorting? If it collapses you will buy it for pennies and give it back

Re: $1M bounty for details on Tether’s backing

#260

Post by drexlspivey »

tppiotrowski wrote: post #74

How can one profit from a crypto bubble? I’ve heard of an ETF for shorting Bitcoin but never saw any specifics. Can anyone provide a reputable brokerage for shorting crypto currencies?

Buy puts on the new Bitcoin ETF that launched today (BITO)
Post reply on HN