About USDT

[FirmWars]

Please correct me if I got it all wrong, audited projects are projects that have passed some security checkup right? As a newbie I kinda like investing in projects that are audited atleast so back to my question, USDT is the biggest stable coin right? When I tracked it on coinmarketcap I found out that's it passed audits through Certik and Fairyproof, why haven't this clear the rumour that USDT might fail someday? Because it's Centralised? If that's it then why DAI ( decentralized stable coin) haven't grow over USDT all this while?

[1714695155]

1714695155

[1714695155]

1714695155

[1714695155]

1714695155

[Zotak337]

You need to do some research on USDT, in this world once you managed to stain your name it will forever be a stamp, Tether team have onced faced the law due to their conning act in the past that's why some don't believe in this stable coin, secondly it's a centralised stable coin, for some that's enough not to trust.

[Charles-Tim]

then why DAI ( decentralized stable coin) haven't grow over USDT all this while?

Let me use bitcoin as an example, it is decentralized, but why are people preferring centralized exchanges over decentralized exchanges? It is just because people like what is trending and they like what others are using, they do not care about having in-depth knowledge about it and how their privacy are easily invaded.

But this is what I thought about it, almost all exchanges are paring bitcoin and other unstable decentralized coins with USDT, that is one of the reasons more people are using it. Exchanges will also like a coin that is so centralized to the extent it can easily be freezed by the developer behind it.

USDT can easily be freezed, be it on exchanges or noncustodial wallets, it is very centralized.

[hosseinimr93]

When I tracked it on coinmarketcap I found out that's it passed audits through Certik and Fairyproof, why haven't this clear the rumour that USDT might fail someday?

I don't have much information about those audits. But most probably they have only audited the smart contract. For example, they ensure that there is no vulnerability in the smart contract.

One of the main concerns about USDT tokens is that there is no proof that the tokens are backed by real dollar.
The other problem is that the tokens can be freezed at any time without any reason even in your own wallet.

[Cookdata]

Certik is nothing more than a smart contract reviewer. Projects provide them with their source code of written smart contracts so that they can be reviewed for any vulnerabilities or future failures. This gives investors and the general public more confidence in their investments, but it shouldn't be used as investment advice because anything other than smart contract failure could occur, such as the team running off with the funds raised.

Usdt is a company that has been dragged for a long time, even before Certik was founded. They've been charged and investigated in the past for not being transparent with the equivalent pegged fiat deposit for each USDT and bitcoin price manipulation. With USDT as centralized stable coin, they can freeze your money any time especially when they don't find you transparent. (According to their ways)

As a newbie I kinda like investing in projects that are audited atleast so back to my question.

https://www.certik.com/company/disclaimer

Just a friendly disclaimer, you should check.

[BIT-BENDER]

Please correct me if I got it all wrong, audited projects are projects that have passed some security checkup right? As a newbie I kinda like investing in projects that are audited atleast so back to my question, USDT is the biggest stable coin right? When I tracked it on coinmarketcap I found out that's it passed audits through Certik and Fairyproof, why haven't this clear the rumour that USDT might fail someday? Because it's Centralised? If that's it then why DAI ( decentralized stable coin) haven't grow over USDT all this while?

Since your are a newbie allow me to clearify you, a project passing audit either by certik or any other Auditing companies doesn't guarantee it wouldn't fail, some projects are ready to go for auditing and still have plans to be a scam project, as for USDT and it failing I doubt if anyone can fully confirm that, but for now I think it's a solid stable coin that I believe in, but I don't know if it would be here forever.

[LostEcho]

Now it has come to my attention that audits are nothing, they are nothing but mere reviewers, don't go around thinking that a verification as been passed through these audit platforms they are not reliable... From now on erase them from your minds.

[The Cryptovator]

Tether is a controversial cryptocurrency. Audit agencies just audit the smart contract code, it doesn't mean a project is legit or not to collapse. The audit report just describes the fictionality of the codes what they did, or can do in the future. Tether claimed it's backed by assets. But they aren't transparent about their claim. You may read more on Wikipedia.

https://en.wikipedia.org/wiki/Tether_(cryptocurrency)

[Trojane]

You know we had centralized coins or currencies before an idea about decentralized came on board; although this was because the centralized wasn't favourable and the user's privacy wasn't assured but people still think that the decentralized coins are only a cunningly devised means to make things worse. Lemme put it to you that people like what many people are doing and since it's legalized, it becomes hard for people to Change their mind. The decision to accept decentralization in coins management should be made by the governments and the world's economic authority and not the individuals...

[NeuroticFish]

As a newbie I kinda like investing in projects that are audited atleast so back to my question, USDT is the biggest stable coin right?

I don't like USDT and I don't believe that it's properly backed. There were a lot of controversies on the topic, but I stopped following all the relevant news. So.. be careful.

However, the main reason for me replying here is different. And from a quick check it seems like nobody mentioned this.
You seem to want to invest into USDT. Do you know that being a stablecoin means that its price should (normally) remain in parity with USD, hence not a good investment?

USDT is normally a pretty good tool for traders, but imho not that much suitable for investing/holding, since you won't gain anything.
(Of course, if you want to hold USDT only in the days Bitcoin price is dropping, then it's a different story.)

[lobo13hf]

Please correct me if I got it all wrong, audited projects are projects that have passed some security checkup right?

More likely the contract that already reviewed to remove the potential rug pull function or bug.
It can be said that the company paid another company to audit its smartcontract through use different formula.

As a newbie I kinda like investing in projects that are audited atleast so back to my question,

Preventing the developers from putting the code that can be used as a backdoor to steal all of liquidity, this is the main concern why people are investing into the project that already audited. Smartcontract is a very sensitive thing.

USDT is the biggest stable coin right? When I tracked it on coinmarketcap I found out that's it passed audits through Certik and Fairyproof, why haven't this clear the rumour that USDT might fail someday? Because it's Centralised? If that's it then why DAI ( decentralized stable coin) haven't grow over USDT all this while?

The biggest one but we have another stable coin called USDC as well. It's caused by these audits are only working to find the bug and vulnerability. that means USDT is still having the function to control the token. this makes people are feeling worry but i never feel that.

[Jaered]

I dont like Tether USDT one bit. Kinda like its being controlled and can have its backup or peg pulled anytime and I would be left lugging around a worthless token. So thank you very much I would go for DAI or even USDC. BUSD is somehow like USDT

[masterrex]

Please correct me if I got it all wrong, audited projects are projects that have passed some security checkup right? As a newbie I kinda like investing in projects that are audited atleast so back to my question, USDT is the biggest stable coin right? When I tracked it on coinmarketcap I found out that's it passed audits through Certik and Fairyproof, why haven't this clear the rumour that USDT might fail someday? Because it's Centralised? If that's it then why DAI ( decentralized stable coin) haven't grow over USDT all this while?

IMO, I think that audit that you mentioned was only intended for the security of the platform, about if there's a vulnerability that can be exploited by hackers and some other issues involving how it was coded.

I know what you mean to say, and it doesn't mean that because USDT or Tether is centralized it will fail It's not like that, it is only one of the many issues and concerns that hovering around the Tether (USDT), and Im, not an appropriate person to discuss it. Anyway it's not comparable with DAI although that DAI is decentralized it was not as popular in terms of trading pairs with other cryptocurrencies in many exchanges I don't know what was the reason behind it but one thing is for sure DAI is more safe and decentralized compared to USDT.     

[vv181]

Please correct me if I got it all wrong, audited projects are projects that have passed some security checkup right?

Yes, though do note it just passed some criteria and may be based on past known vulnerability, it doesn't guarantee the project is error-proof.

USDT is the biggest stable coin right? When I tracked it on coinmarketcap I found out that's it passed audits through Certik and Fairyproof, why haven't this clear the rumour that USDT might fail someday? Because it's Centralised? If that's it then why DAI ( decentralized stable coin) haven't grow over USDT all this while?

Because a security audit certificate doesn't guarantee and doesn't automatically make a project will not be a failure. Some say it is indeed that centralization is the issue, the things that other entities can freeze your own fund is worrying. There is also some saying that the USDT have an issue with transparency about their backed funds. So, it isn't mainly due to centralization.

[jrrsparkles]

Please correct me if I got it all wrong, audited projects are projects that have passed some security checkup right? As a newbie I kinda like investing in projects that are audited atleast so back to my question, USDT is the biggest stable coin right? When I tracked it on coinmarketcap I found out that's it passed audits through Certik and Fairyproof, why haven't this clear the rumour that USDT might fail someday? Because it's Centralised? If that's it then why DAI ( decentralized stable coin) haven't grow over USDT all this while?

The reason why Tether is growing up and decentralized stable coins are not is simply because people doesn't know the real difference or due to the low liquidity for DAI and listed of minimal exchanges and no exact trading pairs because most people uses stable coin for trading purpose so they will look for coin with high trading volume and listed of various exchanges and have most trading pairs.

[Maus0728]

As a newbie I kinda like investing in projects that are audited atleast so back to my question, USDT is the biggest stable coin right?

If you're thinking about investing in USDT for the long term, I recommend reading this:
- [UPDATED] PSA: Most Stablecoins Can Be Frozen, Even in Your Own Wallets

Also last month, there was news that Tether had frozen $160 million in USDT on the Ethereum Blockchain^[1] without disclosing any public information about the addresses that had been blacklisted, which I find to be something suspicious..

[1] https://www.coindesk.com/markets/2022/01/13/tether-freezes-160m-of-usdt-stablecoin-on-ethereum-blockchain/

[so98nn]

then why DAI ( decentralized stable coin) haven't grow over USDT all this while?

Let me use bitcoin as an example, it is decentralized, but why are people preferring centralized exchanges over decentralized exchanges? It is just because people like what is trending and they like what others are using, they do not care about having in-depth knowledge about it and how their privacy are easily invaded.

But this is what I thought about it, almost all exchanges are paring bitcoin and other unstable decentralized coins with USDT, that is one of the reasons more people are using it. Exchanges will also like a coin that is so centralized to the extent it can easily be freezed by the developer behind it.

USDT can easily be freezed, be it on exchanges or noncustodial wallets, it is very centralized.

That is the insecurity for many of us. If I’m every getting paid in USDT then I’m completely fine with it however I’m  only believing it’s true stable value. Obviously things won’t change for USDT overnight. It’s completely fine to use it but it’s not fine to hold it forever or have it as secure place to store your coins when crypto is crashing. Though it’s volume is enormous, it still has legal issues and devalued trust for the same reasons. DAI, on the other hand came with traditional roadmap. There is still time when peeps start using it. More or less there are many more options than before so the investments are getting scattered.

[mindrust]

Please correct me if I got it all wrong, audited projects are projects that have passed some security checkup right? As a newbie I kinda like investing in projects that are audited atleast so back to my question, USDT is the biggest stable coin right? When I tracked it on coinmarketcap I found out that's it passed audits through Certik and Fairyproof, why haven't this clear the rumour that USDT might fail someday? Because it's Centralised? If that's it then why DAI ( decentralized stable coin) haven't grow over USDT all this while?

There are no audits on USDT. If anyone says otherwise, it is bull crap. They occasionally come up with some pie charts to show that they have the funds to back the tokens but anybody can make pie charts of their imaginary wealth.

DAI is not mentioned much because it don't have the business connections the USDT has. Almost every crypto exchange in existence acknowledges USDT. Not many even list DAI.

[Jackl87]

Please correct me if I got it all wrong, audited projects are projects that have passed some security checkup right? As a newbie I kinda like investing in projects that are audited atleast so back to my question, USDT is the biggest stable coin right? When I tracked it on coinmarketcap I found out that's it passed audits through Certik and Fairyproof, why haven't this clear the rumour that USDT might fail someday? Because it's Centralised? If that's it then why DAI ( decentralized stable coin) haven't grow over USDT all this while?

There are rumours surrounding USDT since a few years now and they are just not going away. The reason for that is, that the company behind USDT changed the wording regarding their backing of every USDT minted. In the beginning they always said, that they have enough real USD to back every USDT minted, but now they are saying that they have enough reserves to back every USDT minted. The problem is, that no one knows if those reserves really exist and in what form they exist.
I think certik and fairyproof only audit the code and not stuff like reserves.

[zasad@]

Please correct me if I got it all wrong, audited projects are projects that have passed some security checkup right? As a newbie I kinda like investing in projects that are audited atleast so back to my question, USDT is the biggest stable coin right? When I tracked it on coinmarketcap I found out that's it passed audits through Certik and Fairyproof, why haven't this clear the rumour that USDT might fail someday? Because it's Centralised? If that's it then why DAI ( decentralized stable coin) haven't grow over USDT all this while?

The DAI token cannot be printed at the request of the owners. If you want to get a DAI token, then you need to lock your coins in a smart contract.
DAI has the most honest statistics
https://makerburn.com/#/
Tether can print its tokens without collateral
Be sure to read this information
https://bitcointalk.org/index.php?topic=5247581.0