Could Tether Bring Down Bitcoin?

[BubbleBoiler]

"Fiat-backed stablecoins are therefore rarely actual cryptocurrencies, which causes them to inherit their main characteristics and shortcomings from the centralised banking system. Ultimately, they function in the same manner as fiat, backed by what amounts to an IOU."

"There is a theory that stablecoins such as Tether have been used both to stabilise and manipulate Bitcoin’s price, especially during the 2017 Bitcoin bull run."

"What is important to remember, is that any asset may appear stable until it suddenly isn’t."

Really interesting read by crypto CEO = https://medium.com/@DDhopn/stablecoins-3b93b4f1ddc5

[Astargath]

The last time Tether crashed, it pushed Bitcoin's price up a lot, so no, it will not bring bitcoin down, perhaps it will push Bitcoin up like the last time.

[Flangler]

I have heard that theter actually has equivalent of dolars to tether in bank account so I think it is somehow stable. The connection between Tether and BTC price is most likely real.

[Red-Apple]

bitcoin doesn't rely on Tether so no!

90% of bitcoin volume is coming from fiat exchanges with actual fiat currencies such as US dollar, Canadian dollar, Japanese Yen, Euro, CNY, ... and a small percentage of it is from Tether which is mostly people who are moving coins between exchanges to do arbitrage trading.

on the other hand 90% of the altcoin/fiat volume and about 40% of their total volume comes from Tether. so if anything the altcoins should take a huge hit.

of course the FUD of a shady coin like Tether going down is going to harm bitcoin even though bitcoin has nothing to do with it.

[BubbleBoiler]

I have heard that theter actually has equivalent of dolars to tether in bank account so I think it is somehow stable. The connection between Tether and BTC price is most likely real.

Tether has never undergone a full audit which I think makes people sceptic. Hopefully they are backed by USD as I think they provide a helpful middle ground between crypto and fiat, but there is still a lot of other factors that make me wary of them.

[BitcoinHodler]

there has been a lot of FUD about relationship between bitcoin price and tether and all of them have been nonsense. but yet people continue talking about them because this market loves the drama

as for "bringing down bitcoin", you can only wish but it will never happen. however we will surely see Tether eventually go down either by their company scamming people or by FBI shutting them down at some point and that will cause a lot of panic in the market with lots of dumps and bitcoin will be among them.

[bigcash2011]

I have different point of view i think all these stable and fiat backed coins have done tremendous work for bringing masses to crypto and this has lead to adoption as before all these fiat backed coins general people were confused about crypto and what is their true worth or how to invest but after the launch of especially usdt they can relate and weigh their investments in real world fiat money which has helped in compliance so i see tether as a very positive thing for crypto market.

[kodtycoon]

nothing can bring down bitcoin and make it fall, I want to ask whether stablecoin luring long term investor? I think stablecoin will be used for daily trading. everyone sell bitcoin only for each country's currency to earn income from cryptocurrencies

[traderethereum]

nothing can bring down bitcoin and make it fall, I want to ask whether stablecoin luring long term investor? I think stablecoin will be used for daily trading. everyone sell bitcoin only for each country's currency to earn income from cryptocurrencies

Yes, I agree with you. I don't think that tether could bring down bitcoin. If traders want to see their coins is not getting down too deep, they should think of using tether to save their money because the price is not going down too deep. I see that is the function of tether, to protect the funds in the stable coins if we are too scared with the volatility.

[Psynthax]

I have heard that theter actually has equivalent of dolars to tether in bank account so I think it is somehow stable. The connection between Tether and BTC price is most likely real.

Have you seen the latest news from tether if tether company doesn't have a lot of money to cover all of USDT that already issued by the company itself and this has already published at the same time with the migration of tether to the tron news.

[herurist]

nothing can bring down bitcoin and make it fall, I want to ask whether stablecoin luring long term investor? I think stablecoin will be used for daily trading. everyone sell bitcoin only for each country's currency to earn income from cryptocurrencies

Bitcoin will be the king of coins no one can beat him including Tether, Tether is still in position 8 I think it's far to drop bitcoin.

[TimeTeller]

there has been a lot of FUD about relationship between bitcoin price and tether and all of them have been nonsense. but yet people continue talking about them because this market loves the drama

as for "bringing down bitcoin", you can only wish but it will never happen. however we will surely see Tether eventually go down either by their company scamming people or by FBI shutting them down at some point and that will cause a lot of panic in the market with lots of dumps and bitcoin will be among them.

Until now, I am doubting the USDT having real backing of USD.
And if people within their team start to feed their hunger for money, we know for sure, they are going down.
But bringing down bitcoin? Still a big question out there.
How many people know about the existence of tether as compared to bitcoin? Just to start I guess.

[Pamadar]

nothing can bring down bitcoin and make it fall, I want to ask whether stablecoin luring long term investor? I think stablecoin will be used for daily trading. everyone sell bitcoin only for each country's currency to earn income from cryptocurrencies

They using this coins to take the benefits, stable coins can't bring down btc  most of us here will continue to believe that it's still far better to have decentralized cryto than this kind of project where more bigger whales can play and ride the game.

[BubbleBoiler]

I have different point of view i think all these stable and fiat backed coins have done tremendous work for bringing masses to crypto and this has lead to adoption as before all these fiat backed coins general people were confused about crypto and what is their true worth or how to invest but after the launch of especially usdt they can relate and weigh their investments in real world fiat money which has helped in compliance so i see tether as a very positive thing for crypto market.

He mentions exactly that in the article, says stablecoins are necessary for acceptance and adoption of cryptocurrencies, but hopefully over time people will be educated about the benefits of decentralised coins and then move money from centralised digital coins into decentralised cryptocurrencies (which will hopefully be stable by then).

I agree with you to an extent, but it's also unhealthy to have a top 10 coin with that higher volume that could be fraudulent.

[webtricks]

The last time Tether crashed, it pushed Bitcoin's price up a lot, so no, it will not bring bitcoin down, perhaps it will push Bitcoin up like the last time.

Last time Tether crashed? Crashed in terms of? As far as I know, Tether's value is pegged to USD, isn't it? The lowest Tether ever been is $0.96 which I don't consider to be called as crash as such differences happen due to trading adjustments. I think your understanding about how market works in not correct. Tether is not a speculative cryptocurrency. It is mostly used as base cryptocurrency for forming crypto pairs on exchanges since it is a good substitute to Fiat currencies. So people can directly trade in terms of Dollars without using USD at all.

[mrdeposit]

"Fiat-backed stablecoins are therefore rarely actual cryptocurrencies, which causes them to inherit their main characteristics and shortcomings from the centralised banking system. Ultimately, they function in the same manner as fiat, backed by what amounts to an IOU."

"There is a theory that stablecoins such as Tether have been used both to stabilise and manipulate Bitcoin’s price, especially during the 2017 Bitcoin bull run."

"What is important to remember, is that any asset may appear stable until it suddenly isn’t."

Really interesting read by crypto CEO = https://medium.com/@DDhopn/stablecoins-3b93b4f1ddc5

If money is not traded, there will be no difference. So, tether is just a stable money to keep the money stable. If you look at its volume, you will find it is not stored much.

[Pet240]

From definition, tether is a stable coin, which invariably means it has a fixed price. Therefore it could be a tool for controlling the price of btc. It is easier to pump and stabilize price using it, than  to use it in causing a general dump.
Although, as uneasy as it could be, a continuous dump using it could come to reality with persistence.

[BubbleBoiler]

"Fiat-backed stablecoins are therefore rarely actual cryptocurrencies, which causes them to inherit their main characteristics and shortcomings from the centralised banking system. Ultimately, they function in the same manner as fiat, backed by what amounts to an IOU."

"There is a theory that stablecoins such as Tether have been used both to stabilise and manipulate Bitcoin’s price, especially during the 2017 Bitcoin bull run."

"What is important to remember, is that any asset may appear stable until it suddenly isn’t."

Really interesting read by crypto CEO = https://medium.com/@DDhopn/stablecoins-3b93b4f1ddc5

If money is not traded, there will be no difference. So, tether is just a stable money to keep the money stable. If you look at its volume, you will find it is not stored much.

But what if it's not stable, no one knows if USDT is actually backed 1:1 in real USD as they refuse to undergo a complete audit, if they are running a fractional reserve system exactly like the banking system they are no longer stable in the long-term.

[jaywizzy]

Bitcoin is not correlate  by anybody while most of the coin depend on bitcoin. I don't agree with the point that tether is use to manipulate the price of bitcoin.

[icalical]

No way that could happen, not in any universe. There is nothing special with tether, Bitcoin might have not anything very special too, but for now it is the highest marketcap. To bring down Bitcoin or at least take it's position as #1 crypto, it needs a very good project, and Tether is not a very good project, it has nothing special