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Are pixie fairies behind Bitcoin's latest bubble?

amycastor.com

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Re: Are pixie fairies behind Bitcoin's latest bubble?

#61

Post by arcticbull »

wmf wrote: post #56
arcticbull wrote: post #51

Earlier quoted context omitted.

Why on earth would a legitimate whale be dropping money into bitfinex and tether lol, they barely have banking relationships. They have at times literally not had access to withdrawals — because they were pretending not to be who they are and were caught by Wells Fargo. A few times if memory serves. You think a whale is dropping $2 billion dollars of new money into tether prints via bitfinex?! What kind of mad man wo…

https://www.theblockcrypto.com/post/48857/former-head-of-cir...

Look all I want to see is one measly audit of a $20 billion dollar money pile is that so much to ask? You’ll have to forgive me if I don’t take yet another rando with vested interest word for it. Well one auditor who doesn’t quit half way through because, and I assume this is true, it was too on the up and up to bother finishing the audit.

Re: Are pixie fairies behind Bitcoin's latest bubble?

#62

Post by garmaine »

okokok___ wrote: post #58
FridgeSeal wrote: post #48

Earlier quoted context omitted.

Well when it stops catastrophically collapsing after each major price rise, like...you know...a bubble, then we'll stop calling it that.

You mean like any other market? Or just this one?

People call other markets a bubble too.

Re: Are pixie fairies behind Bitcoin's latest bubble?

#63

Post by garmaine »

marcell wrote: post #26

It's not really important to withdraw USDT directly into my bank account. I can simply move USDT to Binance, convert it to USDC, and then withdraw USDC using my Coinbase account. USDC and USDT trade at basically 1:1, as you can see here: https://www.binance.com/en/trade/USDC_USDT FUD around Tether (like this article) is noise.

You used to be able to withdraw goxusd 1:1 as well.

Re: Are pixie fairies behind Bitcoin's latest bubble?

#64

Post by amycastor »

dannyw wrote: post #46
raziel2701 wrote: post #23

Earlier quoted context omitted.

My understanding is that tether is printed (by Tether the company) and used to buy btc at just a couple exchanges (one is bitfinex, I forget the others) who are in on it. This initial purchase drives btc-usdt up, arbitrage bots then buy btc-usd so that it matches btc-usdt. The media and people notice the price increase and jump into btc-usd because it's going up, narratives are created to justify why the price went u…

Bitfinex is one of the largest exchanges, and Tether is also used by many other exchanges like Binance. It's not implausible to think that there's $13B of inflows to BTC this year. This whole Tether speculation / hit piece is basically people thinking "It's implausible people want to buy bitcoin on the largest bitcoin exchanges".

If Tether were in fact receiving real USD to support the billions in USDT it keeps issuing, then why hasn't it handed over financial docs to NYAG, which is investigating it for fraud? Why has it not had a third-party audit? Why does it keep printing USDT in larger and larger numbers (a sign that the real $$ may be disappearing from the system)? Why don't we see a similar growth in other regulated stablecoins?

Re: Are pixie fairies behind Bitcoin's latest bubble?

#65

Post by amycastor »

wmf wrote: post #54
dannyw wrote: post #46

Earlier quoted context omitted.

Bitfinex is one of the largest exchanges, and Tether is also used by many other exchanges like Binance. It's not implausible to think that there's $13B of inflows to BTC this year. This whole Tether speculation / hit piece is basically people thinking "It's implausible people want to buy bitcoin on the largest bitcoin exchanges".

You could have $13B of inflow to BTC with only $1B of Tethers because they should be reused. Who is holding them and why?

Who is holding USDT? Likely traders who went onto Bitfinex (Tether's sister company) and sold their BTC there for what they thought was a good price. BTC, in this scenario, is a bridge to USD, because it can be moved to an OTC desk or a banked exchange and sold for cash.

Re: Are pixie fairies behind Bitcoin's latest bubble?

#66

Post by arcticbull »

1996 wrote: post #55
arcticbull wrote: post #44

Earlier quoted context omitted.

What conspiracy theories dude? We said it wasn't backed by dollars, lo and behold, $850 million or 30% of the entire backing amount at the time had been siezed by authorities for being the proceeds of money laundering. It was all held by CryptoCapital, give them a quick Google lol. We said it wasn't backed by dollars, they admitted it wasn't backed by dollars and instead crypto and swaps, and other ious. We said you…

Ah, articbull as usual. So after the govt seizes almost one billion from tether, they are not fully backed anymore? Color me surprised!!

And yet going from 1:1 backed (ostensibly but not ever audited) to 1:0.7 backed it still traded 1:1. That’s my issue with it. The fact that they got caught with their pants 30% down is the least surprising thing ever imo.

In fact as I recall they continued to tell people they were backed 1:1 for many months after the seizure.

Remember BFX and Tether pretended to be two separate companies until the paradise papers because of course those clowns used Appleby. [1]

[1] https://news.bitcoin.com/paradise-papers-reveal-bitfinexs-de...

Re: Are pixie fairies behind Bitcoin's latest bubble?

#67

Post by wmf »

amycastor wrote: post #65
wmf wrote: post #54

Earlier quoted context omitted.

You could have $13B of inflow to BTC with only $1B of Tethers because they should be reused. Who is holding them and why?

Who is holding USDT? Likely traders who went onto Bitfinex (Tether's sister company) and sold their BTC there for what they thought was a good price. BTC, in this scenario, is a bridge to USD, because it can be moved to an OTC desk or a banked exchange and sold for cash.

So they're going to hold USDT until the crash, then re-buy BTC and move that out? Plausible, but it sure seems complicated.

Re: Are pixie fairies behind Bitcoin's latest bubble?

#68

Post by pavlov »

cconroy wrote: post #42
mantap wrote: post #37

Earlier quoted context omitted.

Tether is meant to be pegged to the dollar. It is supposed to be printed in high quantities if high quantities of tethers are necessary to maintain the peg. Otherwise the peg would break and one tether would be worth more than one dollar. Am I just being thick? It seems like the article has cause and effect the wrong way around. Demand for bitcoin would be expected to drive creation of tethers not the other way aroun…

I just looked at coinbase's about page they have 35MM users now. Bitcoin is going through s-curve adoption like the internet. Fools on here look for conspiracy theories because they ignore demand increasing, for whatever reason.

I have a Coinbase account that I haven’t logged in to since 2017. Apart from speculation, there’s simply nothing to do with this stuff. Ethereum has promised “Web 3.0” applications since forever but they don’t even have the bandwidth for a novelty cat picture exchange service.

This was not the case for any early internet service. They were all immediately useful and became part of my life. The only reason I stopped using something (eg Usenet) was that a better replacement became available.

Re: Are pixie fairies behind Bitcoin's latest bubble?

#69

Post by 1996 »

arcticbull wrote: post #66
1996 wrote: post #55

Earlier quoted context omitted.

Ah, articbull as usual. So after the govt seizes almost one billion from tether, they are not fully backed anymore? Color me surprised!!

And yet going from 1:1 backed (ostensibly but not ever audited) to 1:0.7 backed it still traded 1:1. That’s my issue with it. The fact that they got caught with their pants 30% down is the least surprising thing ever imo. In fact as I recall they continued to tell people they were backed 1:1 for many months after the seizure. Remember BFX and Tether pretended to be two separate companies until the paradise papers bec…

I agree with you, I just find your consistent and persistent myopia interesting: for you, nothing can ever be good in crypto!
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