How safe is Tether?

[yannick225]

1 USDT goes for $0.94 USD at Kraken recently meaning, that savvy investors believe there is a risk of USDT collapse. Discounting USDT price vs. USD. Theoretically they should be traded at 1:1 basis, so ifyou dont want to take risk stay away of tether...
And the hack yesterday, may show at folks why Tether is not safe to use

[omonuyak]

Maybe you have not had that tether has been hacked today and many investors and holders are moving they fund to bitcoin. Tether is not relaible and you should be careful if you have a mind of investing or used it for transactions.

[FrankNoland]

How safe is it to hold your money in tether? It's based in Hong Kong and some of the terms and conditions are cringey. If something were to happen to it do you think polo and bittrex would honor your money some how?

I assume that its safe to hold your bitcoin/money as tether, nevertheless recent malicious attacks on their ecosystem. I don't think it will affect investors in anyway. I have been holding some of  my bitcoin as tether for quite some time now and haven't experienced any issues, so I wouldn't say it isn't safe.

If any kind of issue happen with the mechanics of this token, you'll take the damages.
I'd to say it's not safe to hold your money on Tether.

I have been holding some tether on bittrex and cryptopia for quite some time now, is there any particular reason why you assume it's not safe to hold money as tether.

[geo43]

They were hacked today and there are signs that they are involved in other suspicious activity such as price fixing.

[Haunebu]

Maybe you have not had that tether has been hacked today and many investors and holders are moving they fund to bitcoin. Tether is not relaible and you should be careful if you have a mind of investing or used it for transactions.

Just found out about this and I cannot say that I am not surprised. I feel that almost every coin in the crypto world is unreliable and risky to invest into. Only a small portion of crypto coins like Bitcoin, Ethereum etc are worth investing into since they have proved themselves according to me. Initially, I was interested in Tether and thought about buying some tether, but changed my decision since I felt that there were many altcoins which were much better investments for short term and long term profits. After hearing that it got hacked, looks like I made the right decision.

[Donaldturp]

Maybe you have not had that tether has been hacked today and many investors and holders are moving they fund to bitcoin. Tether is not relaible and you should be careful if you have a mind of investing or used it for transactions.

Just found out about this and I cannot say that I am not surprised. I feel that almost every coin in the crypto world is unreliable and risky to invest into. Only a small portion of crypto coins like Bitcoin, Ethereum etc are worth investing into since they have proved themselves according to me. Initially, I was interested in Tether and thought about buying some tether, but changed my decision since I felt that there were many altcoins which were much better investments for short term and long term profits. After hearing that it got hacked, looks like I made the right decision.

It's not right to say unrealiable. It's right to say unknown, because it's really unknown. They control this tether company and we don't know how they print new usdt coins with their request.

That's the scary part of usdt.

[wxa7115]

Maybe you have not had that tether has been hacked today and many investors and holders are moving they fund to bitcoin. Tether is not relaible and you should be careful if you have a mind of investing or used it for transactions.

Just found out about this and I cannot say that I am not surprised. I feel that almost every coin in the crypto world is unreliable and risky to invest into. Only a small portion of crypto coins like Bitcoin, Ethereum etc are worth investing into since they have proved themselves according to me. Initially, I was interested in Tether and thought about buying some tether, but changed my decision since I felt that there were many altcoins which were much better investments for short term and long term profits. After hearing that it got hacked, looks like I made the right decision.

It's not right to say unrealiable. It's right to say unknown, because it's really unknown. They control this tether company and we don't know how they print new usdt coins with their request.

That's the scary part of usdt.

But then they are no better than holding fiat, why I would want to hold such a crypto when they are not transparent about the way they do things, I might as well just keep my money in my debit card and buy bitcoin when I need it, the more I think about it the less sense it makes to hold tether for any amount of time, since in the world of crypto the only store of value is bitcoin and no other coin comes close to fulfill that function.

[KKaruchis]

How safe is it to hold your money in tether? It's based in Hong Kong and some of the terms and conditions are cringey. If something were to happen to it do you think polo and bittrex would honor your money some how?

For me is like using any other altcoin but it's price more stable.

[boakyei]

Tether is safe , I have traded with it for sometime now and the rate with usd is very stable.

[cryptojanne]

Tether is a scam waiting to crash down. Dont be caught holding the bag, its a scam created by the exchanges to get easy profits. Its exactly like the banknotes you use in your everyday normal life, they can just create how many they want, whenever they want.

[pogpog10]

Personally i would not trust it completely because of the recent issues but i guess it would not harm you to use for a very short time. My friend had to put all of his money there for a reason and he was so stressful and nervous.

[glennmatthew]

I will never trust tether, there is no way to redeem a USD for a real USD. If there are any bubbles in the cryptoworld, then this one is the biggest of them all.

A disaster waiting to happen if you ask me. I feel sorry for those unaware of this.

Just transfer your funds to GDAX, and trade them for real USD/EUR/GBP. Security and safety over comfort. Don't make decisions you will likely regret.

[anasso]

tether is not safeand no one can verify if it's backed by real cash.

be careful tether is bitconnect 2.0 and when it will blow up, many big exchanges will collapse.

[easynote]

1 USDT goes for $0.94 USD at Kraken recently meaning, that savvy investors believe there is a risk of USDT collapse. Discounting USDT price vs. USD. Theoretically they should be traded at 1:1 basis, so ifyou dont want to take risk stay away of tether...
And the hack yesterday, may show at folks why Tether is not safe to use

Tether was getting dumped some a little earlier, I would wait before purchasing any of that unless you want to get less money in return.

[c15]

why tether would be a good investment now?

[Diablesfunis]

How safe is it to hold your money in tether? It's based in Hong Kong and some of the terms and conditions are cringey. If something were to happen to it do you think polo and bittrex would honor your money some how?

It's not safe, it is just and internet money that is not backed by anything and they can print new tether as they like. From what I've read they even refused an audit and that's a very bad thing. Bitshare bitusd is better because it is backed by bitshare but they are not that popular right now.

[kennyy2929]

it's always stable, but i wouldn't put my money in it for long term.
i will store my money in it for day or 2 to wait the the correction of other coins and then buy in again.
in crypto nothing is impossible.

[Darker45]

Be very careful about Tether. I cannot confirm myself whether the articles that I have read about the Tether issue are true or not but I think it will at least serve as some sort of a precautionary warning to dig deeper about the truth behind it. I think I have only used Tether once or twice. I would rather see my portfolio's value go down with Bitcoin rather than be stable with something that is not 100% secure. At least I know that with Bitcoin, it will rise after some dumps.

[Apekool]

I am also wondering about Tether. I read a few articels about it and did not get a solid anwser about his saftey.

Just quoting this because exactly this has not changed. Whether or not USDT holds it's value, the people behind have to do better to keep this up. As soon as speculation arises that they might not hold the exact amount of USD, at any time, they should be able to provide evidence, e.g. an audit by (preferably) an authority, to suppress that kind of sentiment. Now the media is creating their own story just the way they like it, because adequate information on this is not well provided.

Page 5:

Each tether issued into circulation will be backed in a one­to­one ratio with the equivalent amount of corresponding fiat currency held in reserves by Hong Kong based Tether Limited. As the custodian of the backing asset we are acting as a trusted third party responsible for that asset. This risk is mitigated by a simple implementation that collectively reduces the complexity of conducting bothfiat and crypto audits while increasing the security, provability, and transparency of these audits.

Page 9:

The provability of DUSD (dollarUSD=tetherUSD) will rely on several processes:
■ We publish the bank account balance on our website’s Transparency page.
■ Professional auditors will regularly verify, sign, and publish our underlying bank
balance and financial transfer statement

Their last audit was in September 2017, which showed the exact amount of USD on that bank account. However the fact that there's USD in a bank account tells nobody anything about there being an option to cash out USDT for USD.

[thr3]

I believe Tether just received an inquiry from the Federal Agencies in the US. Their auditors just pulled out and they have been printing tethers into the systems for months now.

All those services, development etc.. costs money. Tether will never be able to deliver 1 Tether = 1USD, it is just not mathematically and economically possible.