If Tether dies, will Bitfinex go with it? and what about our $s?

[thegoatiest]

Started this thread trying to work out:
Is our Balance at Bitfinex exchange - Tether, or Fiat USD?
I'm not sure anymore.
I've been looking through the internet and it's surprisingly hard to find out.
Bitfinex dodge the question repeatedly.
Anyone know for sure?

Here's one such thread where the support staff - literally evade the direct question to them:
https://www.reddit.com/r/bitfinex/comments/8un7fa/usd_or_usdt/

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I'm in the process of trying to work out if Bitfinex is at all safe with the New-york judge / tether business hanging over us.
So far my conclusion is - Tether is far from safe.
However.... if Tether goes down would it take Bitfinex with it?

If your balance at Bitfinex exchange is actually tether... then that would be very bad.
If your balance at Bitfinex is legit fiat USD - then would that be as bad?
I don't quite know the scope of this, I know nothing about law really...
But if Bitfinex had to declare bankruptcy then our 'Fiat' would no longer be safe.....?  
I know they sold a bunch of 'tokens' for Bitfinex after the latest fiasco but that hasn't convinced me of anything.

[exstasie]

Anyone know for sure if your balance at Bitfinex is Fiat or Tether?

Bitfinex redeems USDT deposits for USD and allows USD withdrawal in the form of USDT, so it doesn't really matter. They are essentially interchangeable, although there are slightly different withdrawal policies and fee structures at either site for the redemption of actual fiat.

Both companies are joined at the hip.....same directors, same banks, the line of credit extended from Tether to Bitfinex, etc. The same legal risks apply to both of them equally.

if Tether goes down would it take Bitfinex with it?

I guess it depends on the exact circumstances, but quite possibly. Regulators in the US are investigating both of them, so we might see actions that target both of them simultaneously.

If your balance at Bitfinex exchange is actually tether... then that would be very bad.
If your balance at Bitfinex is legit fiat USD - then would that be as bad?

Yes. Bitfinex lost $850 million (in legit fiat USD) to a law enforcement seizure last year and is still trying to recover. They are at risk just as much as Tether.

[thegoatiest]

holy cow. Thanks for the information on that.
Off to Binance I go.             

[BitHodler]

Bitfinex has been an exchange to avoid for a couple of years now, so you're indeed better off to use Binance. Good thing is that the other stablecoins there start to pick up in popularity, which means more volume and liquidity.

I would say that the alternative stablecoin pairs against Bitcoin offer enough liquidity for most people by now. I doubt that there are that many people here needing millions in liquidity on both sides of the order book.

[thegoatiest]

I was drawn into Bitfinex by them dropping their nonesense 10k$ minimum equity.... like a moth to the flame.
They have great order types, pretty exchange. But yeah, See ya Bitfinex!

I don't have enough money at all for the liquidity to present even a remote problem. My issue with the alternate stable-coins is; the charts are different. Bigger or smaller wicks... Usually messing up my trades that'd otherwise have been fine with tether, USD or Euros.
When there's low-volume it's a lot easier/cheaper for whales - with a good idea of where the markets headed to reach down that little bit deeper on a stop-loss hunt. At least that's my understanding.

[Ailmand]

It's time to switch to binance, haven't used bitfinex since last year. Even if binance qas hacked lately, they have upgraded their platform to better serve their users and there are also stable coins in binance. So, I think your best choice if you are going to switch is binance.

[elda34b]

Even if binance qas hacked lately, they have upgraded their platform to better serve their users and there are also stable coins in binance.

How do you make sure that the upgrade is adequate, or really happening? Who knows exactly in details what happened behind it?
Not saying Binance is playing us but never put too much trust on an exchange. Anything can happen overnight, so keep your funds out of exchange if possible.

Don't be the next victim of the hack.

[Lakai01]

I withdrawed everything from bitfinex back in 2018, I dont trust them anymore. I currently only European exchanges like Bitstamp and Bitpanda to buy or sell coins.

Nevertheless: Don't use any exchange to store your coins. Transfer them out immediatly if you dont want to trade them anymore. Hacks/exit scams/... can happen to any of those exchanges out there, your coins are never safe if you dont have the private key to access them anytime.

[PuertoLibre]

If Bitfinex management can't comply with the upcoming rules by local regulation, there will be a huge storm in the markets.

I withdrawed everything from bitfinex back in 2018, I dont trust them anymore. I currently only European exchanges like Bitstamp and Bitpanda to buy or sell coins.

Nevertheless: Don't use any exchange to store your coins. Transfer them out immediatly if you dont want to trade them anymore. Hacks/exit scams/... can happen to any of those exchanges out there, your coins are never safe if you dont have the private key to access them anytime.

The trading volume and liquidity is second to none in Bitfinex if we ignore the Tether issue for a moment. I have used both Bitstamp and Bitpanda but you will understand my point when you get re-quote for several times. Bitfinex now requires at least $10k for new accounts in order to activate the deposit/withdrawal.

[D3m1r4wanti]

It seems that the problem with Bitfinex has exacerbated the exchanger's condition, I have long since left the exchanger. and now prefer Binance and Okex to be used as trading exchangers for some of the crypto assets that I have.
because they also become the best ranking according to the coinmarketcap



https://coinmarketcap.com/rankings/exchanges/

[Tytanowy Janusz]

So far my conclusion is - Tether is far from safe.
However.... if Tether goes down would it take Bitfinex with it?

What is tether? Stable coin which is based on:

-Give me your$$ and ill store them for you and here are your tokens.

How is it possible to go down? Storing my $$. That's the only job you have.

But actually there is a possibility that it will go down ... when bitfinex will go down and take tether with him. So your question should sound:

If bitfinex goes down will it steal tether founds taking it down too? In my opinion there is high probability of that. But storing your money on bitfinex than will affect in loosing all your money no matter in which asset you store them

[Astvile]

Even if binance qas hacked lately, they have upgraded their platform to better serve their users and there are also stable coins in binance.

How do you make sure that the upgrade is adequate, or really happening? Who knows exactly in details what happened behind it?
Not saying Binance is playing us but never put too much trust on an exchange. Anything can happen overnight, so keep your funds out of exchange if possible.

Don't be the next victim of the hack.

We still dont even know if the "hacking" was real or just a played news to trick,Yes you are right binance is by far the best and on the top crypto exchange thats why people put too much trust on them and just leave their holdings in the exchange wallet we cant blame them then if another hacking happen then its their money whos gonna be stolen being smart is best hold your coins on personal wallet

[Ferris419]

This is why I avoid bitfinex exchange! This exchange, Tether USDT and the new the LEO coin, everything seems suspicious to me! To avoid the recent USDT pressure they asked crowdfunding! I don't know who invested there 1 Billion USD where this exchange is doing suspicious things and has a very low volume! However, it is good that people are moving forward to Binance, Binance is the exchange everyone should care!

[cryptic4000]

This is why I avoid bitfinex exchange! This exchange, Tether USDT and the new the LEO coin, everything seems suspicious to me! To avoid the recent USDT pressure they asked crowdfunding! I don't know who invested there 1 Billion USD where this exchange is doing suspicious things and has a very low volume! However, it is good that people are moving forward to Binance, Binance is the exchange everyone should care!

Bitfinex is under great pressure from US policy and that is what makes this exchange so difficult to balance financial and Tether in the recent period of constantly having bad news that makes invester at this exchange there are many problems in withdrawing money. I think it's time for us to choose a better exchange because European related exchanges really put enormous pressure on investors and I personally will only choose the exchanges that are available at Asian.

[coolcoinz]

This is why I avoid bitfinex exchange! This exchange, Tether USDT and the new the LEO coin, everything seems suspicious to me! To avoid the recent USDT pressure they asked crowdfunding! I don't know who invested there 1 Billion USD where this exchange is doing suspicious things and has a very low volume! However, it is good that people are moving forward to Binance, Binance is the exchange everyone should care!

I've also been steering away from it since they were exposed for lying about USDt 1:1 backing. Once a liar always a liar. Of course, I'm not saying that you should avoid bitfinex. You can still use it and it's a rather fast and reliable exchange, but try not to hold money there. This is a rule for all exchanges but when one is caught lying the rule gains on importance.

[Ucy]

Here's one such thread where the support staff - literally evade the direct question to them:
https://www.reddit.com/r/bitfinex/comments/8un7fa/usd_or_usdt

Looks like he tactically avoided the question or maybe he didn't understand it. But his reply to a part of the question is clear enough. Whether it is true or not is a different issue.


If tether loses all its dollar reserve to government seizure or something it will most likely affect the USDT too. 
The truth is tether is heavily dependent on the dollar reserve.  The company should have diversified the reserve incase fund seizure happens.

[stfN2128]

Thanks for sharing this link. I personally have never used tether and on bitfinex i made my last trade like 2 years ago. the whole tether shit should be cleared out in an official statement.. i hate this lies and trying to hide the real informations...

[Harlot]

I think for users who are still into Bitfinex and still your account balance is able to move freely outside from their exchange it's best if you do it as soon as possible because sooner rather than later when things go down deeper with their situation the worst thing that could happen is all of your accounts will be freeze from all the commotion that is happening with them. There is really no reason now to lie idle with them because if you qant to protect your capital you better do the smart thing and move it out from them.

[Genemind]

I trust Binance more than Bitfinex when it comes to trading altcoins. I find the trading of Binance more reliable than bitfinex. However, you should know that there's a risk in trading no matter what exchange you'll use but it's better to choose a more reputable exchange.

[cryptoknightt]

I trust Binance more than Bitfinex when it comes to trading altcoins. I find the trading of Binance more reliable than bitfinex. However, you should know that there's a risk in trading no matter what exchange you'll use but it's better to choose a more reputable exchange.

Currently, binary exchanges are a favorite and many people believe in binance, because currently the most trading volume is a binary exchange place, their platform has just been released a few months ago but the trading volume can beat the old exchange platform.