Title: How Centralized is tether? Post by: Ucy on May 17, 2018, 07:20:07 PM * Anyone with good knowledge of how Centralized tether is?
* Is tether built on Bitcoin? * What is the implications of building a Centralized (Non-transparent) Cryptocurrency on Bitcoin or other decentralized cryptos? Could be abused/over printed? * Should non-transparent Cryptocurrencies be even allowed to exist without being regulated by humans (humans in this case are governments/constituted authorities) I really don't know much about tether as I haven't found time to research it properly. Title: Re: How Centralized is tether? Post by: teddyelwyn on May 17, 2018, 07:27:07 PM I found this on me quest of looking through stablecoins: https://www.forbes.com/sites/shermanlee/2018/03/12/explaining-stable-coins-the-holy-grail-of-crytpocurrency/#351926b4fc64
right now there's too much trust tether. I have a lot of faith in Havven personally. They're fully decentralized and trustless Title: Re: How Centralized is tether? Post by: bitmover on May 17, 2018, 07:41:02 PM * Anyone with good knowledge of how Centralized tether is? * Is tether built on Bitcoin? * What is the implications of building a Centralized (Non-transparent) Cryptocurrency on Bitcoin or other decentralized cryptos? Could be abused/over printed? * Should non-transparent Cryptocurrencies be even allowed to exist without being regulated by humans (humans in this case are governments/constituted authorities) I really don't know much about tether as I haven't found time to research it properly. Tether is a cryptocurrency that runs on Bitcoin Blockchain. It was built on Bitcoin's blockchain using OmniLayer. Basically, Tether is a company, and when you buy tether, you are making a loan to that company, who promises to pay you back 1 USD for each tether you own. I recently made a post about it, which I am going to quote here. It's a Debt Security. You basically become a creditor of that company. You are making a loan to Tether with zero interest rate. That's a pretty good deal for Tether. So you are borrowing money with 0% interest rate, assuming all the risks, as Tether may go the bankrupt and do not pay you back. Even so, there are a few advantages of buying tether:
This cryptocurrency is closely connected to Bitfinex, as they share the same CEO. (https://www.bloomberg.com/news/articles/2018-01-30/crypto-exchange-bitfinex-tether-said-to-get-subpoenaed-by-cftc) Bitfinex is one of the biggest exchange in the world. As they make a lot of money I believe they may have their Tether backed up, but I am looking forward to see the results of any real audit. Be careful, as tether has never been audited. They may or may not have the money to pay investors. Title: Re: How Centralized is tether? Post by: EvaGC on May 19, 2018, 12:40:14 PM So far, the major stablecoin in circulation has been Tether.
It was recently announced that Tether received subpoena from the U.S. Commodity Futures Trading Commission (CFTC). Today Tether (USDT) has a market cap of USD 2.210.000.000 and 24h volume of over USD 2.5 Bio , according to press articles ,it fails to offer the full amount of safety required to be an ideal safe haven. Read more: https://medium.com/@globcoin_io/bringing-stablecoins-to-the-next-level-357879430b0f Title: Re: How Centralized is tether? Post by: GCP17 on May 20, 2018, 10:01:38 AM It's the best known stablecoin. That doesn't make it the best. But definitely the first mover in the space, and I think all other stablecoins aim to improve on what they have built; or offer a valid alternative. Globcoin GLX is one to look at. Hope that helps.
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