Sending Euro on the bitcoin blockchain. EURt will replace Transferwise

[MingLee]

Using this vehicle, the Omni Layer Foundation will engage market making in the EUR/USD pair across both decentralized exchanges and other exchange partners.

No! We want USD/BTC and EUR/BTC...

EURT is fully backed by a banking trust in Taiwan on a 1 to 1 basis of deposits to coins issued.

This doesn't sound good at all.

It looks like this will complicate things instead of simplifying them, I think... You will need an extra token to trade another token, so to speak.

It's actually not a terrible idea in my opinion. Even though you now have more tokens connected to the blockchain, having a 1:1 token quantity makes it easy to see how many Euros are being moved.

As long as the idea isn't being complicated beyond the base concept it has right now, it should actually be a pretty decent system.

[raphma]

Correct me if I am wrong, but Tether is somehow pegged to the fiat currencies and then linked to fiat bank accounts. What happens with the funds in these accounts, when the banks block these accounts? Is this not centralization based on the Blockchain to transfer fiat value?

Give the slow thinkers a boost here. ^smile^

yeah, i agree with you but i think if you want to move money that's the best way and less dependent of banks, even tho there's still some dependency.

[Yakamoto]

Correct me if I am wrong, but Tether is somehow pegged to the fiat currencies and then linked to fiat bank accounts. What happens with the funds in these accounts, when the banks block these accounts? Is this not centralization based on the Blockchain to transfer fiat value?

Give the slow thinkers a boost here. ^smile^

I think the first thing wrong with the statement Kakmakr is that he implied that the banks would just go and block the accounts outright. The funds in the accounts wouldn't really matter, and assuming you have a bank/trust that is the very center of the program, they won't just block the account. Even if they do it doesn't matter, because the tokens exist. Those who deposited Euros sell their tokens for Euros to someone else, they get their money. If you could comprehend written words you would be able to figure out how it works. It is centralization, but everything you state and assume is basically wrong in the context of what you wrote.

Why would a bank block their own deposit account? You send money, get tokens in return that can be traded. What can they block?

[calkob]

This sounds absolutely fantastic and is the way of the future.. 

[Carlton Banks]

What happens with the funds in these accounts, when the banks block these accounts? Is this not centralization based on the Blockchain to transfer fiat value?

Ok, so how about if a given Bank becomes insolvent before you trade your EURt for "mainchain" (lol) EUR? I know, you'd change your mind and trade the EURt for BTC blazing fast, but it's worth thinking of all scenarios if you're going to start talking "what if"s.

One thing I've often thought about with the Tethercoins: what if websites began to accept them for payment? Being able to use USD or EUR online in a cash-like (permissionless) way would be genuinely useful, all the more so if the Tethercoin isn't as subject to the monetary policy of the issuing fiat-bank as the asset it's based on. EURt might be consistently worth more than actual EUR under those circumstances... you could forget about bank runs and PayPal forever.

[TKeenan]

even tho there's still some dependency.

Here is the really bizzare part: the dependency is PURELY psychological!!!  

It's not the actual money held by the bank that backs up Tether - rather it is the belief and faith that when you give one USDT to someone, they will hand you a buck.  Every time.  Every day.  Never changes.  If everyone just kept using Tether normally, everyone just kept believing the next guy would give a buck in exchange for a Tether$, then it wouldn't matter if the bank caught on fire and all the backing money was gone.  It 'feels' good that the backing money exists.  But really, the only thing that makes Tether$ worth something is if all people are willing to exchange it for a buck, or a buck worth of something else.  

If everyone showed up on the same day and wanted to give back their Tethers and receive greenbacks (a bank run) the system would crash without backing funds.  With backing funds, even a bank run won't damage Tether.  Backing funds are only important in the event that a bank run comes.  But what are the odds of a bank run?  We could all use Tether for 1000 years with no bank run and no backing money - and EVERYTHING would be fine!!!  This is in fact how the Fed actually works.  Yet you are perfectly happy that Bank of America shows your account balance of $1000 - $1000 which doesn't really exist and there are no 'backing' funds.  Indeed, the funds on deposit that back Tether are just imaginary bullshit government notes not worth anything at all!!!

Tether will save so many millions in exchange fees.  Go see what Transferwise did.  It is a HUGE valuable company.  Tether does it even better.  The future is bright for Tether.

[yayayo]

Who really needs this thing? Anybody that is able to use EURt is also able (and even more inclined) to use Bitcoin. EURt is like offering a transportation service where passengers sit in horse buggies that are loaded on pickup trucks. That makes no sense at all.

Omni Layer is in fact the rebranded MasterCoin protocol. The founder of MasterCoin, who contributed no real work to the actual protocol other than an amateurish whitepaper made a nice cut by dumping his coins after generating a hype around it - even before an usable implementation of the protocol was available. Now he has effectively disappeared.

ya.ya.yo!

[TKeenan]

Who really needs this thing? Anybody that is able to use EURt is also able (and even more inclined) to use Bitcoin. EURt is like offering a transportation service where passengers sit in horse buggies that are loaded on pickup trucks. That makes no sense at all.

Omni Layer is in fact the rebranded MasterCoin protocol. The founder of MasterCoin, who contributed no real work to the actual protocol other than an amateurish whitepaper made a nice cut by dumping his coins after generating a hype around it - even before an usable implementation of the protocol was available. Now he has effectively disappeared.

ya.ya.yo!

Imbecile.

What if you want exchange rate protection?  When Bitcoin falls 20% in one day, USDT falls 0%.  There are 101 more uses.  That is who needs this thing.  

JR didn't disappear, didn't hype, and didn't profit.  You have no idea what you are talking about.  Management of Omni was not ideal in the beginning for sure.  But, the coders continued to build a really nice strong platform.  

Many good alts are built and traded on Omni today.  

But forget about Omni, this is about Tether.  TetherUSD has done really well over the last two years, now trade over $1,000,000/ day.  If Tether Euro gets up and running, it allows a very new EUR/USD channel directly on the blockchain.  Unless you are a financial null, you'd know right away why this is extremely valuable.  That is a shitload of traffic done every hour.  If you can do it without fees, there is real benefit.  Tether will be HUGE in less than 12 months.

Go back to playing with your 'crypto-games'. This is something even morons can understand.

[Carlton Banks]

Who really needs this thing? Anybody that is able to use EURt is also able (and even more inclined) to use Bitcoin. EURt is like offering a transportation service where passengers sit in horse buggies that are loaded on pickup trucks.

The use-case for me is decentralised exchanges. Bitsquare.io handles at least some of the Tether coins, and I believe also a different scheme for price-static surrogate coins. The reason should be obvious: it's not possible to store (and therefore trade) fiat directly when using decentralised exchanges.

[pereira4]

I have been tempted to use tUSD before to hedge against possible BTC price dips so I can buy back and own more BTC, the problem is keeping the tUSD in the exchange wihle you hold positions... this is why we need proper decentralized exchanges, so we can hold positions without risk of getting Goxxfinexed.

[Carlton Banks]

the problem is keeping the tUSD in the exchange wihle you hold positions... this is why we need proper decentralized exchanges

Bitquare has some Tether coins (plus another Tether-like set of coins, I believe). The only thing I don't like about Bitsquare is the use of SPV wallets in the BTC part, but there are ways of mitigating that problem (i.e. the reduced privacy of using SPV).

[TKeenan]

I have been tempted to use tUSD before to hedge against possible BTC price dips so I can buy back and own more BTC, the problem is keeping the tUSD in the exchange wihle you hold positions... this is why we need proper decentralized exchanges, so we can hold positions without risk of getting Goxxfinexed.

Don't hold your Tether in an exchange - you'll get Goxxifinexed.  Just put your Tether on a paper wallet.  3 minutes before you need to trade, send them back to the exchange account. 

Tethers live happily on any normal bitcoin address!!!

[useless4]

This sounds absolutely fantastic and is the way of the future.. 

it would be great to be honest, though i dont think that it is going to be possible soon, in my opinion we are still to early for it

[TKeenan]

This sounds absolutely fantastic and is the way of the future.. 

it would be great to be honest, though i dont think that it is going to be possible soon, in my opinion we are still to early for it

The future is NOW.  It is already working.  Believe it or not.

[coin_gambler]

Correct me if I am wrong, but Tether is somehow pegged to the fiat currencies and then linked to fiat bank accounts. What happens with the funds in these accounts, when the banks block these accounts? Is this not centralization based on the Blockchain to transfer fiat value?

Give the slow thinkers a boost here. ^smile^

yeah, i agree with you but i think if you want to move money that's the best way and less dependent of banks, even tho there's still some dependency.

yeah, in my opinion using banks is a really bad decision, well we have to do it all the time though i try to avoid them as much as possible

[Pumperdumper]

Who really needs this thing? Anybody that is able to use EURt is also able (and even more inclined) to use Bitcoin. EURt is like offering a transportation service where passengers sit in horse buggies that are loaded on pickup trucks. That makes no sense at all.

Omni Layer is in fact the rebranded MasterCoin protocol. The founder of MasterCoin, who contributed no real work to the actual protocol other than an amateurish whitepaper made a nice cut by dumping his coins after generating a hype around it - even before an usable implementation of the protocol was available. Now he has effectively disappeared.

ya.ya.yo!

Imbecile.

What if you want exchange rate protection?  When Bitcoin falls 20% in one day, USDT falls 0%.  There are 101 more uses.  That is who needs this thing.  

JR didn't disappear, didn't hype, and didn't profit.  You have no idea what you are talking about.  Management of Omni was not ideal in the beginning for sure.  But, the coders continued to build a really nice strong platform.  

Many good alts are built and traded on Omni today.  

But forget about Omni, this is about Tether.  TetherUSD has done really well over the last two years, now trade over $1,000,000/ day.  If Tether Euro gets up and running, it allows a very new EUR/USD channel directly on the blockchain.  Unless you are a financial null, you'd know right away why this is extremely valuable.  That is a shitload of traffic done every hour.  If you can do it without fees, there is real benefit.  Tether will be HUGE in less than 12 months.

Go back to playing with your 'crypto-games'. This is something even morons can understand.

This guy is straight up advocating for a Federal Reserve system where value is backed by "faith" - undermining this entire industry and what it originally was meant to over take?

How is nobody calling him out on his bullshit?

https://etherscan.io/token/0xabdf147870235fcfc34153828c769a70b3fae01f

Since January 1st - EURT has been pumped to $86 million.

http://archive.is/Rk9q4

You can also NOT exchange USDTether to USD for any US citizen - EXTREMELY suspicious, this was done only after they were subpoenaed.