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Tether executives said to face criminal probe into bank fraud

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Re: Tether executives said to face criminal probe into bank fraud

#301

Earlier quoted context omitted.

But they don't really solve any of that. That are inefficient too, slow and costly. 51% was possible from China anytime until they banned it. Insane workarounds are proposed for easy problems. Instead of the SEC, some sharks/influencers are ruling the markets. Not a week goes bye without a new hack or malicious ownership of the cloud solution or an on purpose malicious contract or extreme scams ( eg. Tether, USDT, ..…

It's pretty clear you haven't actually used DeFi. To convert my shares into dollars in my bank account takes almost a week. In DeFi I can do it within minutes. Same with sending money, trading, loans, providing liquidity, purchasing insurance. It's a night and day difference between this and the existing financial system.

Sure.

And what party are you trusting for your insurance?

In which country?

And how can shares take one week to convert? My broker has a deposit account in a German bank, it takes 1 click to convert. The button's name = buy/sell.

I'm not sure if i have ever encountered a problem. I can use methods outside wire transfer to have additional funds deposited immediately.

And the shares on Defi aren't exactly shares, are they. I wouldn't touch a bank that does this and calls it "shares".

As said before, it doesn't solve any problems.

Ps. In case you didn't knew. Knowing the country is important for potential legal action ;)

https://www.rekt.news/

Now tell me, what country is Binance located. They are one of the biggest in DeFi ? :) And how trustworthy are the "stable coins" backing the different DeFi protocols? :)

Re: Tether executives said to face criminal probe into bank fraud

#302

Earlier quoted context omitted.

My fault, I meant USDC. DAI is backed by USDC, and USDC is a competing stablecoin to USDT. I guess an important distinction is DAI is not 100% backed by USDC, but it is backed >50% as of this time: https://share.streamlit.io/tadzz/maker_dai_collateralization...

Says who? Tether was 100% backed by USD too, until the lawsuits. Then it became 2,9% USD backed.

Yeah I definitely don't disagree with you. The backing can change over time, and I linked to a tool that programmatically checks the backing of DAI so that's what I quoted.

In Tether's case they are backed by almost no USD and mostly short term loans to undisclosed entities... I do not think Tether is legit, and USDC is questionable as well. Without third party auditing it's hard to trust any of this stuff.

My original response was trying to highlight how DAI is mostly made up of USDC (at this time), and USDC is a direct competitor to USDT. So in what world would it make sense for USDC to bail out USDT in the event USDT is revealed as a total fraud.

Re: Tether executives said to face criminal probe into bank fraud

#303

Earlier quoted context omitted.

Most bank notes aren't "backed by anything". Reserve requirements are now zero for banks. Source: https://www.federalreserve.gov/monetarypolicy/reservereq.htm

You have to pay the taxman on April 15. He’s going to want US dollars. If you don’t pay up, the men with guns come. That’s “backing” more real than shiny yellow metal.

So one could say the US dollar is backed by violence? Also, you didn't address reserve requirements.
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