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Tether starting to lose its peg too, after Terra did

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Re: Tether starting to lose its peg too, after Terra did

#641

Post by JackFr »

bratwurst3000 wrote: post #595
dagw wrote: post #576

Earlier quoted context omitted.

Is it the casino foult that their customers loose money Casinos are very strictly regulated and must post the exact rules and probability of winning for all their games. If the casino lies about the rules of the game or your chances of winning, then yes it is absolutely their fault and they will be held liable.

Yes and everyone warned everyone investing in crypto that it could go from hero to zero instantly. I cant believe anyone didnt know this risk.

Everyone involved in crypto is either a con or a mark. There isn't a middle ground.

Re: Tether starting to lose its peg too, after Terra did

#642

Post by MomoXenosaga »

jmyeet wrote: post #455
shafyy wrote: post #55

Earlier quoted context omitted.

> If you've been honestly working on the assumption that it is, then you deserve to lose your (real) money to some crypto VCs on an island somewhere. The sad reality is that many poorer and financially illeterate people have been tricked by VCs and other grifters into this with billions of dollars spent in advertising. So, no, they don't deserve to lose their money to these assholes. These assholes need to be prosecu…

I actually hate people disavowing themselves of responsibility here. While there is definitely some shady stuff in Crypto (particularly NFTs, which seem to be 99% scams), there's a certain level of personal responsibility required here. People saw the meteoric rise of Bitcoin and got a serious case of FOMO. Everyone wanted to be on the next Bitcoin. This, ultimately, is the American Dream: to get rich by doing nothin…

I don't know man casinos have a legal duty to cut off compulsive gamblers. At least in my country.

Which leads me to an idea: classify crypto as a casino.

Re: Tether starting to lose its peg too, after Terra did

#643

Post by frostwarrior »

Traster wrote: post #558

The thing that I think some people miss about Tether is that it's not about whether it is backed enough it's either fully backed or it isn't. If it's not, it's not a question of whether it's back enough to weather this storm, it's about whether the people running it think they can weather this storm. If they think they can keep it running they'll sell whatever backing they have and keep the peg. But if they even thin…

Serious question, how can you sue over this kind of thing?

I thought the whole point of crypto is that it's not regulated. And that also meant that if you got screwed then you are SOL.

Re: Tether starting to lose its peg too, after Terra did

#644

Post by complicitppl »

greyhair wrote: post #527
bsenftner wrote: post #517

Earlier quoted context omitted.

There is also an amount of blame on our government and the shameful treatment of educating society. In a Capitalist driven country, as the USA is, the education system's complete lack of common sense financial literacy is a classic recipe for creating scams. I have a graduate economics degree. I seriously investigated bitcoin and crypto back in '07-'08. There is no "there" there. Cryptocurrencies use an artful abuse…

Rick Scott says there was no right to a free public education in the Constitution. Ponder that for a while.

Not sure what your point is other than a snarky comment.

Does the Constitution mention public schools at all? No. Ponder that for a while.

Re: Tether starting to lose its peg too, after Terra did

#645

Post by salawat »

throw0101a wrote: post #626
equalsione wrote: post #508

Earlier quoted context omitted.

> I actually hate people disavowing themselves of responsibility here. It's easy to say "they should have known" better because in absolutist terms it's correct. But you're focusing on the 'what' and not the 'why'. For example: https://rollcall.com/2021/09/07/left-behind-by-financial-sys... "Normal" investing is complicated, and stacked against regular people. Now we're asking people to understand blockchain and cryp…

> "Normal" investing is complicated, and stacked against regular people. You buy a low-cost index fund (either S&P 500 or total market (Russell 3000, Wilshire 5000)), and depending on your risk tolerance, a bond fund as well. You can have global diversification with one ETF or mutual fund: * https://www.youngandthrifty.ca/picking-the-best-all-in-one-e...

Congratulations.

You just delegated the choice of winners and losers in your economy to an elite cadre of individuals, completely disconnected from boots on the ground life problems.

Symptoms of your decision may include:

Tendency to centralize.

Preferrntial treatment of large incumbents for ease of implementing regulations.

Higher barriers to entry over time.

Decreased feedback loop with regards to reigning in egregious business malbehavior.

Index investing does nothing but perpetuate a small handful of winners, and divests the majority of people from their most important role of being capital allocators.

Part of it, is being bad at it at some point. That's how you get better and increase overall world awareness.

Re: Tether starting to lose its peg too, after Terra did

#648

Post by ceejayoz »

DebtDeflation wrote: post #437

https://finance.yahoo.com/news/tether-reduced-exposure-comme... The CTO of Tether issued a statement earlier today stating that Tether has significantly reduced its exposure to commercial paper and now holds the majority of its reserves in US Treasuries. That should be super easy to verify, yet he refuses to release any details, saying to just wait for their next quarterly update on reserves (which in the past has ju…

Given Tether's past relationship with the truth, I'd imagine "significantly reduced exposure to commercial paper" means "most of it is now worthless".

Re: Tether starting to lose its peg too, after Terra did

#649

Post by dematz »

jmyeet wrote: post #455
shafyy wrote: post #55

Earlier quoted context omitted.

> If you've been honestly working on the assumption that it is, then you deserve to lose your (real) money to some crypto VCs on an island somewhere. The sad reality is that many poorer and financially illeterate people have been tricked by VCs and other grifters into this with billions of dollars spent in advertising. So, no, they don't deserve to lose their money to these assholes. These assholes need to be prosecu…

I actually hate people disavowing themselves of responsibility here. While there is definitely some shady stuff in Crypto (particularly NFTs, which seem to be 99% scams), there's a certain level of personal responsibility required here. People saw the meteoric rise of Bitcoin and got a serious case of FOMO. Everyone wanted to be on the next Bitcoin. This, ultimately, is the American Dream: to get rich by doing nothin…

Matt Levine seems pretty popular here and his dumb investment certificate idea, while ofc a joke, expresses the sentiment that maybe it's not possible to regulate everything but some investments (eg nfts) are transparently dumb and if you lose your money on them it's annoying to complain like "how was I, a simple dentist, supposed to know I'd get swindled?!":

1. Anyone can invest all they want in a diversified portfolio of approved investments (non-penny-stock public companies, mutual funds and exchange-traded funds with modest fees, insured bank accounts, etc.).

2. Anyone can also invest in any other dumb investment; you just have to go to the local office of the SEC and get a Certificate of Dumb Investment. (Anyone who sells dumb non-approved investments without requiring this certificate from buyers goes to prison.)

3. To get that certificate, you sign a form. The form is one page with a lot of white space. It says in very large letters: “I want to buy a dumb investment. I understand that the person selling it will almost certainly steal all my money, and that I would almost certainly be better off just buying index funds, but I want to do this dumb thing anyway. I agree that I will never, under any circumstances, complain to anyone when this investment inevitably goes wrong. I understand that violating this agreement is a felony.”

4. Then you take the form to an SEC employee, who slaps you hard across the face and says “really???” And if you reply “yes really” then she gives you the certificate.

5. Then you bring the certificate to the seller and you can buy whatever dumb thing he is selling.

6. If an article ever appears in the Wall Street Journal in which you (or your lawyer) are quoted saying that you were just a simple dentist, didn’t understand what you were buying and were swindled by the seller’s flashy sales pitch, then you go to prison.

Re: Tether starting to lose its peg too, after Terra did

#650

Post by onlyrealcuzzo »

nailk wrote: post #555
onlyrealcuzzo wrote: post #492

Earlier quoted context omitted.

> Unless your bank kicks you out by some reason (incompetent compliance). Unless foreign bank refuses your transaction because the bank doesn’t like the color of your passport. Unless somehow banking system wants to cut extra from your transaction (2.5-4% for transaction) because of double currency conversion you didn’t ask for, because you didn’t specify correct correspondent bank and your bank didn’t tell you about…

> These are all problems invented by Crypto bulls to build a narrative for why Crypto is widely useful. These problems happened to me and still happening. Swift transactions in USD from US to UAE are getting double converted (at cost of 2.5-4% of the total amount) and it’s very difficult to get meaningful answer from the bank support about what’s happening

Why can't you use Wise to transfer money from USD to UAE?
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