What will happen to Tether?

[BitcoinNational]

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[Abiky]

It is hard to trust what they are saying after the hack. I do not think the Bitfinex CEO is qualified to run an exchange. I will say again if Bitfinex will go under, what will happen to tether when the people responsible are hiding and cannot be seen? Tether is not trustless therefore it is dangerous.

Exactly. That is why it is best to proceed with caution when investing into a pegged asset. It seems too risky and at any moment, Tether could head the same direction as Nubits in price. This last one will probably take quite some time to recover (if it ever will) to its promised pegged value to 1 USNBT = $1

That is why, I have looked into other options to hedge my BTC to fiat such as Coinapult's LOCKS feature. This seems very promising, but just in case I will proceed with caution.  

[bbc.reporter]

@Abiky, I am curious. What happened with the peg of Nubits? Did it not hold?

[Abiky]

@Abiky, I am curious. What happened with the peg of Nubits? Did it not hold?

Turns out to be an issue (or a discourse) between the Nushares holders that decided to sell and caused the price to lost its peg. Now, USNBT worth $0.67 USD. You can look more about in here: https://steemit.com/crypto-news/@steempower/nubits-not-a-price-stable-currencies-and-bc-exchanges-nbt-based-development-fund

Hope this helps.


By the way, I have found a better idea to keep a close peg to the USD and that is by exchanging my BTC to bitEUR. As nowdays, the EUR is worth more than USD this would be a safe haven. (even though it decreases in price a little since it will still be around the $1 USD mark)   

[Igor M]

Tether and Bitfinex are separate corporations and enterprises.

Tether and the tether reserve are not affected by the recent security breach at Bitfinex.

Craig

It is hard to trust what they are saying after the hack. I do not think the Bitfinex CEO is qualified to run an exchange. I will say again if Bitfinex will go under, what will happen to tether when the people responsible are hiding and cannot be seen? Tether is not trustless therefore it is dangerous.

True. Better to stay away from this situation.

[BossBee]

How do you all on this thread feel about tether a year later? Bitfinex is the largest exchange and I don't see why they would want to forfeit that position when they've seen the repercussions.

[leea-1334]

How do you all on this thread feel about tether a year later? Bitfinex is the largest exchange and I don't see why they would want to forfeit that position when they've seen the repercussions.

Does not and should not change a thing about how we should all treat exchanges. No matter how big they get. No matter how great and trustworthy they seem to be,,, never trust any of them with your funds. We all know they will do their best to hold their promises and backings for Tether. We also know this is only true until their business sense stops.

[steve_rogers]

And what do you think now about tether? After all this manipulations with fiat money on different exchanges.
What is the best crypto-fiat pair?
For examples today, tether has just printed out another 300 millions of USDT. I don't believe that they can provide it with real fiat money.

[Dluretic]

But Tether still doesn't have a public bank account, which worries me.
Because Tether companies can now issue more tokens, we don't know if their bank accounts have so much money.

[Daltonik]

The US Department of Justice has initiated a check on the fact of possible bank fraud of the leaders of the company Tether, which is behind the largest USDT stablecoin. According to the publication, the authorities are interested in the early stages of the company's activities. In particular, federal prosecutors are investigating whether Tether hid cryptocurrency-related transactions from banks. https://www.bloomberg.com/news/articles/2021-07-26/tether-executives-said-to-face-criminal-probe-into-bank-fraud?srnd=premium-europe

[Rakeshten]

I don't think that the price of USDT will decrease or increase, because many people are using it as a stable coin and use it for buying any coin in the dip. If the USDT becomes unstable then many people can get a big loss.

[Cryptoangel01]

First of all that won't matter in the next 10yrs hahaha  fact is Bitfinex and Tether have the most liquid market in the crypto industry. The latest FUD in the crypto scene about Tether is baseless and only meant for witchhunt IMO, this year, Tether got cleared, how about that . For me, Tether has been my most used currency both as a store for a stablecoin and my most used coin for Earnbet casino. It will remain this profitable for a long time IMO

[cricketkhampion]

Iit is not possible that usdt price will decrease or increase. I think its price is constant but, If usdt will decrease many people will be got a big loss so I think it is not possible

[dificanovi]

As we can see today that the price of tether is very stable and not much lower than the real dollar price.
Tether will not go bankrupt or disappear forever because the price of Tether is always stable following the dollar price, in my opinion Tether is a coin that is always there like real dollars that will not go extinct.

[feelideb]

The US Department of Justice has initiated a check on the fact of possible bank fraud of the leaders of the company Tether, which is behind the largest USDT stablecoin. According to the publication, the authorities are interested in the early stages of the company's activities. In particular, federal prosecutors are investigating whether Tether hid cryptocurrency-related transactions from banks. https://www.bloomberg.com/news/articles/2021-07-26/tether-executives-said-to-face-criminal-probe-into-bank-fraud?srnd=premium-europe

There have been numerous controversies surrounding tether stable coin. As we can see, these thread is an old tread and these controversies were there as far back as 2016. Personally, I am impressed with what tether have done for cryptocurrency so far, it has help to hold values and take opportunities that would have been otherwise imposdible!  As for the investigation open against tether, it is left for investigators to do their work. Only a court of apropriate jurisdiction can declare a virdict of any wrong doing if there is any!

[bahagia93]

I don't think that the price of USDT will decrease or increase, because many people are using it as a stable coin and use it for buying any coin in the dip. If the USDT becomes unstable then many people can get a big loss.

USDT is a coin whose value is the same as dollars in real life, so that value will always follow the base value of the dollar and it will not be possible to go down like other coins, that's why USDT is said to be a stable coin and is often used by many people to save their assets before making another coin purchase.

[Renampun]

I don't think that the price of USDT will decrease or increase, because many people are using it as a stable coin and use it for buying any coin in the dip. If the USDT becomes unstable then many people can get a big loss.

USDT is a coin whose value is the same as dollars in real life, so that value will always follow the base value of the dollar and it will not be possible to go down like other coins, that's why USDT is said to be a stable coin and is often used by many people to save their assets before making another coin purchase.

USDT Tether is a stable cryptocurrency that has well performed to date...

I'm still wondering..if USDT is a stable coin that uses $ circulation in real life, what will happen to Tether when the US officially wants to issue their own USD cryptocurrency, will other stable crypto coins be sue.

[capoeira]

I don't think that the price of USDT will decrease or increase, because many people are using it as a stable coin and use it for buying any coin in the dip. If the USDT becomes unstable then many people can get a big loss.

USDT is a coin whose value is the same as dollars in real life, so that value will always follow the base value of the dollar and it will not be possible to go down like other coins, that's why USDT is said to be a stable coin and is often used by many people to save their assets before making another coin purchase.

what makes it stable though?
in theory it is the possibility to exchange it to real (backed up) USD.
in reality afaik this is not possible.

[zasad@]

To my understanding Tether is the cryptocurrency created and backed by Bitfinex. If they become bankrupt and stop operating as an exchange what will happen to all the tethers in circulation? Will it all lose value also? Will Bitfinex have the responsibility to exchange them for real us dollars?

Read this information
https://bitcointalk.org/index.php?topic=5247581

And read this article:
https://muellerberndt.medium.com/is-tether-a-black-swan-51095720b01c
Is Tether a Black Swan?

Use various stablecoins to store your crypto savings, not just USDT. It is very risky to hodl all coins in USDT.

[Coin-1]

Use various stablecoins to store your crypto savings, not just USDT. It is very risky to hodl all coins in USDT.

You're right, but there are not so many reliable stablecoins. Alternative coins are USDC, BUSD and DAI. Other similar coins lack liquidity for comfortable trading on cryptocurrency exchanges.

To be honest, I do not believe the USDT will collapse in the foreseeable future.

Law enforcement agencies have been watching Bitfinex-affiliated Tether Ltd since 2018, trying to accuse them of various frauds. I heard that the company recently paid over 18 million dollars to settle claims from the New York State Attorney General. The current lawsuit focuses on the nascent days of Tether Ltd and relates to the bank transactions performed in 2017.

It seems that governments have finally realized that stablecoins are real competitors to the fiat money they issue. Thus, they are trying to cause different troubles for the top-rated stablecoin. We may soon hear about new accusations against USD Coin, Binance USD, etc.