Tether loses 10 billion dollars

[Smack That Ace]

doesn't matter if the reserved fund that's pegged for the USDT is still there and not algorithmic, since it's real backed up with real money then even if there is someone withdrawing more USDT it will definitely be fine.
Unlike algorithmic UST that could get shaken if the market condition become bad and at the same time there is massive selling for the UST because it is an algorithmic that relies heavily in various instruments like other cryptocurrencies.

That's right, While there is still a risk to holding USDT, USDT is not a UST. USDT is backed by the dollar and a few days ago Tether also released the results of its audit for the first quarter with total assets amounting to $82 billion while a circulating capitalization of $74 billion.

Before the collapse of the UST, there were also warnings that the algorithmic stablecoin was unsustainable and would be very risky as it depends on the price movements of bitcoin and other altcoins.

[Xal0lex]

as you can see this has never happened before and the people who are selling out their USDTs are not your average joes but rather the whales,so what do you think ? Do they know something we dont ?

Most likely, the withdrawal of assets is related to the recent event of the loss of the peg by stablecoins, caused by the events around Terra. The media often writes about the contagion effect, that investors, under the pressure of panic, withdraw their funds and redistribute them to safe havens to wait out this uncertainty in the market. In addition, some evidence suggests that the entire stablecoin industry has experienced an outflow of funds from these assets, as the market is in a bearish trend and this is a normal occurrence.

In any case, if you are trying to hint at a possible usdt scam with these factors, it is unlikely to happen. The market has not yet recovered from the panic that LUNA started, so it is not surprising that investors are leaving the crypto space for a while.

[TimeTeller]

as you can see this has never happened before and the people who are selling out their USDTs are not your average joes but rather the whales,so what do you think ? Do they know something we dont ?

Most likely, the withdrawal of assets is related to the recent event of the loss of the peg by stablecoins, caused by the events around Terra. The media often writes about the contagion effect, that investors, under the pressure of panic, withdraw their funds and redistribute them to safe havens to wait out this uncertainty in the market. In addition, some evidence suggests that the entire stablecoin industry has experienced an outflow of funds from these assets, as the market is in a bearish trend and this is a normal occurrence.

In any case, if you are trying to hint at a possible usdt scam with these factors, it is unlikely to happen. The market has not yet recovered from the panic that LUNA started, so it is not surprising that investors are leaving the crypto space for a while.

I am more on the idea that some of these whales are cashing out.
Though we can't deny the possibility that some are afraid that USDT may also crashed.
Remember the time that USDT team admitted they were not fully backed by USD assets?
So these whales or big holders maybe are just ensuring their funds are secure in other form.
But I don't think USDT will turn to be scam also. People behind this are already well-known in this market.
And I think, they are pretty established as compared to UST, which is algo-based (no backing of fiat).

[Yogee]

You should be more careful with using the term. The way you said "loses" made it appear the company actually lost money. Yes it's not a small amount but it's a normal transaction for them. I'm sure they have anticipated large movents like this.

....
After many years the same rumors are still around, but still, it's being used widely!

Tether is trying to comply and meet the minimum standards required by regulators but this rumor  will continue for many more years until they become fully transparent.

[eaLiTy]

~
as you can see this has never happened before and the people who are selling out their USDTs are not your average joes but rather the whales,so what do you think ? Do they know something we dont ?

With the UST blunder everyone is skeptical about the so called stable currencies and that is the main reason everyone is selling off their USDT as well because they too have a fair share of issues when it comes to transparency and faced legal issues in the past and you never know when it will fall as well because it is certain that only a small portion of it is pegged with actual US dollars.

[PaulBf1]

You should be more careful with using the term. The way you said "loses" made it appear the company actually lost money. Yes it's not a small amount but it's a normal transaction for them. I'm sure they have anticipated large movents like this.

....
After many years the same rumors are still around, but still, it's being used widely!

Tether is trying to comply and meet the minimum standards required by regulators but this rumor  will continue for many more years until they become fully transparent.

I don't really think they can ever become "fully transparent" not that they would want to anyways,i mean they've lied about being pegged 1:1 with USD for many years before they were finally caught.

[JeromeTash]

USDT is still the grand master of stable coins and it's audited too, I dont know why people are worried about other stable coins because of what happened to UST, we can clearly see how incapable the Luna teams are so do not compare UST with others.

It didn't just happen to UST, it happened to USDN and DEI as well

Investors have taken out 10 billion dollars out of tether in these past few weeks according to The Guardian
You can visuals it better by looking at their marketcap graph: https://imgur.com/Q5s0Sgk

as you can see this has never happened before and the people who are selling out their USDTs are not your average joes but rather the whales,so what do you think ? Do they know something we dont ?

How do you tell if they are just only "Investors"

There has been a lot of FUD surrounding stablecoins especially after a couple of them depegged so yeah people are selling hoping that USDT might crash too. Just check out USDC's market cap. It's now the 4th in the rankings. Have you ever seen anything like this before?

[Yogee]

....
After many years the same rumors are still around, but still, it's being used widely!

Tether is trying to comply and meet the minimum standards required by regulators but this rumor  will continue for many more years until they become fully transparent.

I don't really think they can ever become "fully transparent" not that they would want to anyways,i mean they've lied about being pegged 1:1 with USD for many years before they were finally caught.

Agreed. Regulators could force them to do so if there will be another major incident but it seems they were fine with the current actions of Tether. I don't know if it's within their jurisdiction but maybe they can also look into the company that issues opinion or representation about Tether's financial reports.

[Rampagoe004]

This feels strange of course because until now tether has not been a problem whatsoever and it is still very safe for us to use, it is possible that many investors get profits in tether at this time because it has increased and they issued so many tethers at this time, but we also have to be vigilant because not all coins will always be safe for us to use including stable coins of course, So we have to keep abreast of future developments hopefully there is no problem whatsoever.

[Kocret02]

This feels strange of course because until now tether has not been a problem whatsoever and it is still very safe for us to use, it is possible that many investors get profits in tether at this time because it has increased and they issued so many tethers at this time, but we also have to be vigilant because not all coins will always be safe for us to use including stable coins of course, So we have to keep abreast of future developments hopefully there is no problem whatsoever.

Even though it doesn't look strange for us to use, but we need to be aware of it, many investors get profits based on the investment pattern they develop, and even they are good at getting out if something happens in a short time, experienced investors know how to make a purchase and get out of trouble. yes, but talking about stablecoins not all investors believe it, keep an eye on the market and don't do anything based on hype

[vanesha]

No wonder it happened, if what he meant was the tether count in the entire cryptocurrency community of 10 billion dollars is very possible. Everyone is still thinking positive because we are in a bear market of course tether is used more for entry and exit. Unless it's bad news then it's worth suspecting if tether has bad intentions but this isn't there.

[Xal0lex]

Remember the time that USDT team admitted they were not fully backed by USD assets?
So these whales or big holders maybe are just ensuring their funds are secure in other form.
But I don't think USDT will turn to be scam also. People behind this are already well-known in this market.
And I think, they are pretty established as compared to UST, which is algo-based (no backing of fiat).

You are trying to connect events that are almost a year apart. USDT issued an audit on June 30, 2021, indicating that the token was only 10% secured in fiat. Since then, USDT's capitalization was about $62 billion and continued to rise, until May 7, when the capitalization reached $83 billion. And now they have released a new audit saying that they have increased dollar collateral. So your version about investors withdrawing funds because of low fiat collateral doesn't make sense, because if it mattered to investors, we would have seen capitalization decline back in July of last year.

[Captain Corporate]

I still think that USDT is not 1to1 ratio backed. I still think that they are lying and they are "mostly in fiat liquid assets", like bonds and such, which are things they could sell in billions without crashing any market. However, thats still not fiat, and I believe that they are making money from people without merit and it should not be really given to them, reaching 80+ billion dollars with this doesn't make any sense to me at all. I get that its the biggest one and they do "audits" but I do not believe that they do audits at all, what they are doing is arranging some audits with some companies and paying them to show what they want shown thats it.

[Ultegra134]

doesn't matter if the reserved fund that's pegged for the USDT is still there and not algorithmic, since it's real backed up with real money then even if there is someone withdrawing more USDT it will definitely be fine.
Unlike algorithmic UST that could get shaken if the market condition become bad and at the same time there is massive selling for the UST because it is an algorithmic that relies heavily in various instruments like other cryptocurrencies.

That's right, While there is still a risk to holding USDT, USDT is not a UST. USDT is backed by the dollar and a few days ago Tether also released the results of its audit for the first quarter with total assets amounting to $82 billion while a circulating capitalization of $74 billion.

Before the collapse of the UST, there were also warnings that the algorithmic stablecoin was unsustainable and would be very risky as it depends on the price movements of bitcoin and other altcoins.

Yeah, it's highly unlikely for USDT to simply fail like that. However, I do understand the people's frustration after the depegging of UST. It's normal for people to panic under such situations. A few weeks ago, just a few days after Luna's crash, USDT also fell below $1 and Twitter went crazy with people panicking. To be honest, I regret not spending a few hundred of dollars, it was an easy 5% profit.

[passwordnow]

There has been a trust and audit issue with USDT. That's why if you worry about the authenticity of backing up its numbers, you choose another better stable coin in your opinion. One can verify and the others don't want to spend time checking it but the fact that it's at the top of the stable coins won't change. You have an option for a decentralized one which is the DAI and these are far from falling just like what UST has happened. Well, to avoid that happening from that worry, you really have to choose which is trustworthy based on the researches that you'll conduct.

[famososMuertos]

Investors have taken out 10 billion dollars out of tether in these past few weeks according to The Guardian
You can visuals it better by looking at their marketcap graph: https://imgur.com/Q5s0Sgk

as you can see this has never happened before and the people who are selling out their USDTs are not your average joes but rather the whales,so what do you think ? Do they know something we dont ?

Do you really think that there is no reason for such a thing to be glimpsed.
In fact the stablecoins have ceased to be so, it is not a new issue, it is something that has always been said, the stablecoins are  uncertainty coins, they are self proclaimed stable, Beyond that pompous name, they are still another token within the crypto niche.

[BobK71]

When the market collapses, there there will be panic situation among the investors this is natural. In this case, whales or big investors always try to be safe. Thousands of big investors have lost what Luna did a few days ago. If a stable coin ends like UST, it will have an effect on the market. Investors are now thinking about the same that has been done in the market with Luna. If there is any doubt about any other project, they will withdraw their money from it, this is natural. but I don't think there will be any such problem in Tether.

[DapanasFruit]

As for my own personal opinion, this is just another day of business in USDT though I am aware that there are some concerns of the company behind this stablecoin not very transparent enough which of course can be the basis of some speculative ideas as to its strength and longevity in light of what happened to UST. No wonder that regulators are now pushing for an established parameters where stablecoins can be able to play especially in the cryptocurrency marketplace most notably with trading. We are, of course, hoping that everything just speculation as I could not imagine what will happen to the whole crypto industry if Tether will collapse.

[keyscore44]

Investors have taken out 10 billion dollars out of tether in these past few weeks according to The Guardian
You can visuals it better by looking at their marketcap graph: https://imgur.com/Q5s0Sgk

as you can see this has never happened before and the people who are selling out their USDTs are not your average joes but rather the whales,so what do you think ? Do they know something we dont ?

LUNA was a very large stablecoin and had a very good reputation, yet the project failed. Certainly, some investors fear that other stablecoins may suffer a similar fate. Tether is dollar backed unlike LUNA which was bitcoin backed. This greatly distinguishes the two projects from each other, but it is possible that someone simply does not know about it and is transferring their money elsewhere for security reasons.

[uelque]

Investors have taken out 10 billion dollars out of tether in these past few weeks according to The Guardian
You can visuals it better by looking at their marketcap graph: https://imgur.com/Q5s0Sgk

as you can see this has never happened before and the people who are selling out their USDTs are not your average joes but rather the whales,so what do you think ? Do they know something we dont ?

I doubt that they have never lost 10 billion dollars before. And how can you say that they are the whales? and if ever they are the whales I still don't think that there is something happening behind that we don't know. Maybe they are just trying to manipulate the market and take advantage on the current bear market because actually they can. Plus tether is back by dollar, and I don't think there is something happening to us dollars that make them worried. So stop overthinking mate. What happening right now is just a normal market situation every bear market.