51–60 of 131 posts
Earlier quoted context omitted.
Oh, I used to bother trying. Then eventually you realize any wrong think simply gets down voted into oblivion, your posting throttled, and eventually shadowbanned. So now I basically enjoy just telling the community to gfy.
what a sad way to get enjoyment... go back to twitter if that's the kind of discourse you want to engage in
I know some seriously sophisticated folks who are not only trading USDT at par, but even long , which I have long found puzzling given that anyone who didn’t just fall off the turnip truck knows it’s not even remotely capitalized to par. My personal suspicion is that when a trivially distressed asset is valued at or above par by smart people that those people expect a bailout/recapitalization. (Sidebar: USD is specia…
The US government hasn't used their military to force anyone to transact in dollars, or even threatened to do so. The dollar has value primarily because taxes inside the US are denominated in dollars. If you don't pay your taxes with dollars then eventually civilian law enforcement will show up and seize your assets.
But the implied threat towards anyone who say, started dumping US sovereign debt, or transacting petroleum in EUR, or whatever is very real. Countries have been liberated for less.
Earlier quoted context omitted.
> Second, 1USDT backed by less than 1USD in value is obviously worth less than 1USD no matter what happens to the USD. That's obviously not how it works. For instance, US banks have capital requirements of ~8%, but the dollars they issue aren't worth $0.08, they're worth a full dollar (as long as no bank run happens). The same mechanics hold for Tether, whether they're regulated or not. In fact, USDTs are often worth…
Here is a perfect problem with crypto: people understand just enough tech or economics to be dangerous, and not enough to truly understand the system. This is of course absolutely not how things work. The risk isn’t with the dollar holders in the banking scenario because a dollar isn’t backed - it doesn’t need to be backed. This is the essence of fiat currency. The risk is with depositors (creditors), and as you say…
I know some seriously sophisticated folks who are not only trading USDT at par, but even long , which I have long found puzzling given that anyone who didn’t just fall off the turnip truck knows it’s not even remotely capitalized to par. My personal suspicion is that when a trivially distressed asset is valued at or above par by smart people that those people expect a bailout/recapitalization. (Sidebar: USD is specia…
The US government hasn't used their military to force anyone to transact in dollars, or even threatened to do so. The dollar has value primarily because taxes inside the US are denominated in dollars. If you don't pay your taxes with dollars then eventually civilian law enforcement will show up and seize your assets.
There were rumors that Iraq under Saddam Hussein was looking to start pricing their oil exports in something other than dollars...
Earlier quoted context omitted.
It’s an asinine take in at least three separate ways. First 1USDT should equal the value of 1USD, so any drop in value of the USD would also be a drop in USDT purchasing power. Second, 1USDT backed by less than 1USD in value is obviously worth less than 1USD no matter what happens to the USD. Third, the charter of the fed, created by congress, is to maintain a low fixed rate of inflation and maximal employment (along…
Their clever trick is this: instead of making every USDT worth less than 1USD they made some of the USDT worth 1USD and the rest worth nothing. This plus relentless misinformation and shaming of the skeptics apparently makes it possible to keep up for a very long time.
Earlier quoted context omitted.
>There’s a difference between backed by the entire United States Indeed. The us currently has in its coffers a $29T hole [1] [1] https://www.usdebtclock.org/
I love the mental gymnastics here. Is the USD good or bad? If USD is bad, then best case Tether is bad, because it’s just USD. And worst case, Tether is just counterfeiting this already bad thing, which makes it doubly bad. I find it so amazing for a group of people who despise the USD how much energy they will spend defending a company whose entire business model is USD. In defense of Tether, maxis always try to def…
Earlier quoted context omitted.
Oh so brave! Another hackernews commenter who hates bitcoin and thinks the price is too high! You're going to get so many upvotes!
I think its more that Tether, the coin which provides the most liquidity in the market is an obvious scam. I know too many people are too deeply involved now to accept it...
Honestly, crypto might crash now, sure, but long term I am confident we will see a crypto currency emerge as the global reserve currency. It just fits too well for it not to.
Earlier quoted context omitted.
The US government hasn't used their military to force anyone to transact in dollars, or even threatened to do so. The dollar has value primarily because taxes inside the US are denominated in dollars. If you don't pay your taxes with dollars then eventually civilian law enforcement will show up and seize your assets.
Ah absolutely, the much more tangible short-term example of “guys with guns” is (admittedly ever more militarized) domestic law enforcement. But the implied threat towards anyone who say, started dumping US sovereign debt, or transacting petroleum in EUR, or whatever is very real. Countries have been liberated for less.
I know some seriously sophisticated folks who are not only trading USDT at par, but even long , which I have long found puzzling given that anyone who didn’t just fall off the turnip truck knows it’s not even remotely capitalized to par. My personal suspicion is that when a trivially distressed asset is valued at or above par by smart people that those people expect a bailout/recapitalization. (Sidebar: USD is specia…
The US government hasn't used their military to force anyone to transact in dollars, or even threatened to do so. The dollar has value primarily because taxes inside the US are denominated in dollars. If you don't pay your taxes with dollars then eventually civilian law enforcement will show up and seize your assets.
But most importantly, there's Saudi Arabia. Saudi Arabia has no military except the US military, and Saudi Arabia prices oil in dollars. It isn't conceivable that they could price oil in another currency and still receive protection from the US (i.e., continue to exist).
The US kind of "has" to continue this arrangement because if the world stops trading oil in dollars, the demand for dollars plummets and the dollar crashes because there are just too many dollars out there. The Fed can't "suck in" all that excess money without causing a severe recession/depression.
Earlier quoted context omitted.
USD gets its value from the legal requirement that taxes are paid in USD. Anyone who lives or wants to do business in the United States has to have dollars. That sets a floor of demand that more demand can be built on. Cryptos often have limited supply but have no floor on demand. For USD to go to zero, the United States as we know it would have to collapse. Most cryptos could go to zero with no real world change asi…
> USD gets its value from the legal requirement that taxes are paid in USD How long will that last? Miami and El Salvador are already proving you wrong. > For USD to go to zero, the United States as we know it would have to collapse Not if your government and country switches to crypto before the fiat collapse.
No, they don't prove him wrong. You need to argue against the best possible version of your opponent's position. Otherwise it's just, as they say, words in the wind.