A good news or a bad news

[JangoUnchained]

I read online that A US court have ordered USDT owner Tether to disclose the reserves backing its stable coin, this is the largest Stable coin in crypto space presently and this doesn't sound like a good news to me, is this the great crypto collapse in play or I am just think way too much? This freaks me out.

[dimonstration]

This is a good news if Tether USDT can present a valid proof that backing there Digital USD so that crypto users will finally have peace of mind that they are not doing shady things but this is indeed a bad news if they can’t present anything to backed there USDT in the bank because USDT holder will be on panic mode that will result to depegging of the token same on what happened to Luna.

[Baofeng]

I read online that A US court have ordered USDT owner Tether to disclose the reserves backing its stable coin, this is the largest Stable coin in crypto space presently and this doesn't sound like a good news to me, is this the great crypto collapse in play or I am just think way too much? This freaks me out.

All I can say is that Tether has been in this position already, and if I'm not mistaken, it was already 2018 wherein they have a court case and they yet continue to exists in the market. I'm not saying that they are running on fractional reserves, because that what everyone is suspecting. However, they have been in the market for a long time and so far there are no threat of collapse or something. And investors are still using them, despite so many competitors already, maybe they trust Tether or they just don't believed that the government has a case against them.

[Crypt0Gore]

I heard this is just a routine, no cause for an alarm, also I think I like the idea, USDT have been audited by fairyproof and certik so clearing this rumour of USDT can't be trusted can make USDT be more trusted by crypto users, to me its more of good news than bad.

[vv181]

For those looking for sources:

- Judge Orders Tether to Produce Records Showing Backing of USDT
- Tether says new court order to produce USDT reserve backing is a 'routine discovery matter'

Or directly from the court order: https://storage.courtlistener.com/recap/gov.uscourts.nysd.524076/gov.uscourts.nysd.524076.247.0.pdf

~maybe they trust Tether or they just don't believed that the government has a case against them.

They are ironically trusted or simply the majority of the people are ignorant. I believe the latter, their users didn't notice the government has a case is out of the option, IMO, it would be too much dumbfounded if there are USDT users who would believe so. The current order was from a 2019 lawsuit, and actually, if we look based on my first referenced Decrypt article, there is a case whereases Tether found guilty to misled the reserve they had to back the token. There ware multiple related cases, so it would be ironic if people still trusting them.

[so98nn]

True on one side but have you considered the other side of the coin? It’s terrifying. If they are not able to provide enough proof of stable coin backing then everyone will know its just fake drama behind the curtains and the USDT economy will fail in a night!

However, considering the calculations and the volume that’s being traded is enormous for USDT. It’s happening because peeps are actually buying it and this much volume can not be created out of thin air for sure.

Plus, owners must show up the actual backings, it may bring more and more investment in the future if it’s true.

[avikz]

I read online that A US court have ordered USDT owner Tether to disclose the reserves backing its stable coin, this is the largest Stable coin in crypto space presently and this doesn't sound like a good news to me, is this the great crypto collapse in play or I am just think way too much? This freaks me out.

It's a temporary bad news because it may affect the market negatively but not for long haul. It's an ongoing concern since a long time for Tether. They have never audited their reserve and never disclosed their holdings as a reserve even though they claim they maintain a 1:1 reserve ratio.

So I think it is positive in the long haul because it will make it very clearer which onen is credible coin to use going forward.

[Anonylz]

I see it as a good news to disclose the reserve backing their stablecoin, many users are in the dark in regards to usdt reserve backing and such could lead to catastrophic damage to many users.
@op i don't get why you see this information as the great cryppto collaps! would you rather they continue keeping users in the dark regarding the actual state of usdt?  The largest stablecoin in crypto should not have issue being transparent.

[jrrsparkles]

I read online that A US court have ordered USDT owner Tether to disclose the reserves backing its stable coin, this is the largest Stable coin in crypto space presently and this doesn't sound like a good news to me, is this the great crypto collapse in play or I am just think way too much? This freaks me out.

There is nothing to worry if the project owner shows the reserves for the tokens they are printing but I guess they are already over the limit and if it exposed publicly then it will be a danger Alarm for all the stable projects not entirely the cryptocurrency, yes people may lose their money if the value drops to zero but for the community it is actually good to know whether they are printing equal to their reserves or not.

[cytpoway121]

I read online that A US court have ordered USDT owner Tether to disclose the reserves backing its stable coin, this is the largest Stable coin in crypto space presently and this doesn't sound like a good news to me, is this the great crypto collapse in play or I am just think way too much? This freaks me out.

The reality I have found out about crypto currency is that there are no good or bad news influence on the market; it is how investors digest each and every news that makes it clear if it is good or bad. In light of the US court notice, this happens yearly; just as the fud by China too. They all happen quarterly to make the market panic hehe.

Don't get freaked out, understand your targets and goals in crypto currency, continue to follow your rules, make adjustments when necessary; the bear phase too well pass

[Lantind]

I read online that A US court have ordered USDT owner Tether to disclose the reserves backing its stable coin, this is the largest Stable coin in crypto space presently and this doesn't sound like a good news to me, is this the great crypto collapse in play or I am just think way too much? This freaks me out.

Of course Tether should have as much USD reserve as current circulating USDT supply. And it must be provided by the USDT owner.
Associated with a US court questioning the reserve of USD in favor of stable coins to Tether owners will not affect the amount of Tether in circulation or make the price of Tether no longer equal to 1 USD.
Of course the question will arise is what if Tether will involve the government in their big project?
As is the current information that Ripple also won in court. And I'm sure Tether is more capable than that.

[palle11]

This might affect the said coin for a short period but it doesn't mean that it will be a reason enough for it to crash down. If it will make the situation of a coin better in the long run, then this issue shouldn't bother you. It's something that we shouldn't panic about because it usually happens to different coins. The government only wants fairness for the benefit of both parties, especially the investors.

I don't see it causing panic or affecting the coin to drop because it will be a good thing if the owner of tether do a disclosure as required by the US government. Investors want confidence in their hodling to be sure of it. The effect can only come if they refuse the obligation then they could have the same scene as that happened to Luna.

[AakZaki]

I heard this is just a routine, no cause for an alarm, also I think I like the idea, USDT have been audited by fairyproof and certik so clearing this rumour of USDT can't be trusted can make USDT be more trusted by crypto users, to me its more of good news than bad.

Certik did a USDT audit in 2019 with a Code Audit History
Fundamental protection and assessment. so no more doubts about USDT. Total Supplay 70,155,449,908.75 USDT with Circulating Supply
67,954,703,168.02 USDT. The USDT pair has even become the main stablecoin pair used by traders because it is considered more secure. no crypto collapse, this would be a good start as more people get to know crypto and come in to invest.

Source: https://www.certik.com/projects/tether

[dothebeats]

I read online that A US court have ordered USDT owner Tether to disclose the reserves backing its stable coin, this is the largest Stable coin in crypto space presently and this doesn't sound like a good news to me, is this the great crypto collapse in play or I am just think way too much? This freaks me out.

Why is it not a good news to you as a consumer? If anything this should be positive as it finally lets us a sneak peek into where Tether is actually pegging its total supply in the market. Imagine if the most used stablecoin doesn't have any assets backing it up, then where does it get its value? For all we know, the guys at Tether are already swimming in pools of money while all of us here are clueless as to the true nature of USDT's valuation. Audits like this should happen more frequently on stablecoins as to assess their capacity to be used as one, else they essentially just created money out of thin air and that's extremely bad for the economy (and they're not a banking entity sooo...)

[serjent05]

Transparency is always a piece of good news, especially if it involves one of the biggest stablecoins in the cryptocurrency industry.  I believe the action of the US court is just since the USDT is claiming that their stablecoins is backed 1:1 by US dollar.  So the tether owner must show the audit or proof that they have the reserved amount equal to the tether in circulation.

Previously tether was fined by CFTC, and this is a continuation of the previous lawsuit, I don't see this bad news. But this is good news, isn't it this news will open the eyes of big investors, so they will buy bitcoin to secure their crypto assets? to be honest I'm not an investor to buy usdt and hold in the long term, I also don't trust stablecoins. Their problems with the government if not resolved then other stablecoins can also be a stepping stone for their investors, I just remind the case of the price crash on Luna can happen in any stablecoin. If they can't prove it, you definitely know what to do.

Yeah, the penalty is well deserved considering they announced that it was backed by dollar reserve 1:1 and finding out that the amount of dollars they held at that time isn't equal to the total supply of USDT.  That is fraud.  So I think this time, USDT must prove in US court that the recent audit that certifies that they actually have the amount is true.

[samcrypto]

I read online that A US court have ordered USDT owner Tether to disclose the reserves backing its stable coin, this is the largest Stable coin in crypto space presently and this doesn't sound like a good news to me, is this the great crypto collapse in play or I am just think way too much? This freaks me out.

There's a lot of issues before with USDT, this might not be a good news because USDT will be in trouble again for paying huge fees if the court sees another irregularities on their platform. This can be good though if USDT will fully comply to be better on their service, this can benefit a lot and ensure many that USDT has a good amount of reserve that can compensate everyone if something bad happen with the platform. Don't panic though, let's just wait if they will cooperate or not.

[jossiel]

You probably heard of it newly and that's why it freaks you out. This has been an issue long ago and that's why it's no surprise if that's what they're asking from the Tether developers which is also connected to Bitfinex.

No need to be freaking out of it and let them handle their own compliance to what the court order has been issued to them.

We'll just wait on how they're going to respond on it.

[chaser15]

I read online that A US court have ordered USDT owner Tether to disclose the reserves backing its stable coin, this is the largest Stable coin in crypto space presently and this doesn't sound like a good news to me, is this the great crypto collapse in play or I am just think way too much? This freaks me out.

That's good news or should I say positive news.

If Tether will just comply with anything legally, they will gain the trust of the community.

For now, let's see what will happened and what actions will Tether will do at this point.

[Silberman]

I read online that A US court have ordered USDT owner Tether to disclose the reserves backing its stable coin, this is the largest Stable coin in crypto space presently and this doesn't sound like a good news to me, is this the great crypto collapse in play or I am just think way too much? This freaks me out.

It depends, if Tether has in fact backed their coins in a one to one relationship then they have nothing to fear and in fact it could benefit them because for a very long time people have speculated this is not the case and this could help them to satisfy those which have asked for an auditory for a long time, however if it can be demonstrated they had cheated the trust of all of those which have bought their coins then this could create a very negative environment for Tether and in the worst case scenario we may see an inevitable crash on that coin.

[nara1892]

You probably heard of it newly and that's why it freaks you out. This has been an issue long ago and that's why it's no surprise if that's what they're asking from the Tether developers which is also connected to Bitfinex.

No need to be freaking out of it and let them handle their own compliance to what the court order has been issued to them.

We'll just wait on how they're going to respond on it.

That's right, don't get too carried away by panic, it will cost us a lot. This is actually a good thing, as it will show the transparency of Tether itself. Don't we want that, that we all want to see things transparently? From there we can assess further about this Tether.
News like this should not let us be controlled by fear.