What happens if binance and tether goes down

[Renampun]

Is it really over for crypto if Binance exchange or Tether go bankrupt like FTX? Can crypto survive without the centralise organizations and projects?

we have to see what happened in the past when binance and tether did not exist, so when binance and tether went bankrupt like FTX, the impact would only be seen at the beginning but over time it will return to normal.
the crypto market will no longer be destroyed if both of them go bankrupt, the crypto market will only be destroyed if the internet does not exist because there are no transactions taking place in the market.

[KingsDen]

For Binance and Tether to crash simultaneously is better imagined that real. I have read those asking if Bitcoin existed before Binance or the reverse. No matter how you see it, if Binance and Tether fail, especially fail simultaneously, that may be the end of Crypto. Bitcoin may survive but it will lose a large number of it's community.

Just the FTX bankruptcy, many people has lost faith in crypto and vowed not to return again.
Binance is the largest exchange and Tether is the largest stable coin and the second highest coin after Bitcoin.
If it happens it will be a total disaster.

[dkbit98]

Nothing is going to happen to Bitcoin if Binance or any other centralized exchanges goes down, or if any stable coins stops existing.
Sure, price is going to tank and go down as reaction to market conditions and bad news, but Bitcoin will continue to work as usual, maybe with temporary higher fees.
I hope people will learn from incidents like FTX to learn more about importance of P2P trading and decentralized exchanges like Bisq.

[masulum]

This depends on where you store it. If you keep it on an exchange then this will be a big disaster for you. If binance goes bankrupt (for example), what happens to bitcoin maybe just decreasing in trading volume but this could be temporary just remember, the value of bitcoin fell in terms of price not with the bitcoin it self. If no centralized exchange, i believe community will open P2P trading like the first time bitcoin used for pizza.

[Awaklara]

This depends on where you store it. If you keep it on an exchange then this will be a big disaster for you. If binance goes bankrupt (for example), what happens to bitcoin maybe just decreasing in trading volume but this could be temporary just remember, the value of bitcoin fell in terms of price not with the bitcoin it self. If no centralized exchange, i believe community will open P2P trading like the first time bitcoin used for pizza.

what is clear is that it could have a very bad impact on the condition of the Bitcoin price. and it will take us a while to be in a bear market trend. what happened to FTX certainly gave us valuable experience not keeping our assets on the exchange.

if what happens is P2P trading, isn't that a reality regarding the use of Bitcoin as a transaction tool? I mean not as a traded asset, but as a tool for trading transactions.

[Razmirraz]

Has all this time Bitcoin depended on Binance exchange or Tether.?
Bitcoin has been around long before there was Binance exchange or Tether, without these two exchanges Bitcoin can still be exchanged. The impact may be slightly felt because they are a large exchange, but it will not stop Bitcoin from circulating because other exchanges will continue to provide services for buying and selling transactions.

[coupable]

I have never considered that the USDT token is really a reliable value due to its centralized nature and characteristics that completely contradict the philosophy of the blockchain in terms of privacy and security. They are tokens that were issued by the trading platforms, and they succeeded in circulating them after an unprecedented support campaign. These tokens are the digital version of fiat money from which they derive their legality.
At the same time, I think Binance is too big to fall. Especially since it has no real competitor. It caused the FTX platform to crash recently.

[GeorgeJohn]

Is it really over for crypto if Binance exchange or Tether go bankrupt like FTX? Can crypto survive without the centralise organizations and projects?

Bitcoin when it started their was no opened exchange or obvious exchange popular like binance to exchange Bitcoin in 2011and especially in some countries that was not familiar with Bitcoin, but their was exchange of cryptocurrency and bitcoin through p2p trade, i could remember my first Bitcoin and how i sold it, it's was through someone that needed it, and finally i sold my bitcoin and have my fiat currency. So i believe that without exchanges right now, Bitcoin will still go a Long way

[Marvell1]

Whatever happen with Binance and USDT in future, I am sure governments will launch more laws and execute more strictly regulations on cryptocurrency and blockchain. For future, it is good, not bad.

After the recent collapse of FTX, the SEC met shortly after and said that creating a legal corridor to regulate cryptocurrencies should be accelerated because of the consecutive scams and crashes occurring in a short time. I don't know if the regulation will be good or bad for us, there are a lot of mixed opinions around it. But one thing I do know is that like it or not, regulation is inevitable and I believe it will come sooner than we think.

[Beparanf]

Disaster since Tether and Binance are the top company on there respective industry that holds the majority of the crypto money. We will not reach the current value of Bitcoin without Tether injecting more supply to purchase Bitcoin while Binance is the most used exchange for newbie and whales that wants to trade on Bitcoin. By only to there treasury will give us a hint on how destructive they are in case that huge amount of crypto holding will be selling off to the market current liquidity.

Binance FTT holdings cause the current market dip so what’s more if they will dump all there holdings just liquidate there asset considering they are still top of there respective industries.

[Bitstar_coin]

It will affect the market greatly, tether and binance are the top exchange and top most used stablecoin,. This two have played a major role in enabling btc transaction. Binance have open doors for people from different part of the world to be able to buy btc we can't argue that.
Take what happen with ftx as an example, see how the market react to the news and the event. Of course it will not be the end of btc but it will put a deep fear in the minds of investors. Many investors will lost the access to buy and sell, believe it or not, not many p2p can be access by many countries, most of them don't even support African countries. Bro the negative impact will be huge so lets hope such never happens.

[coupable]

Whatever happen with Binance and USDT in future, I am sure governments will launch more laws and execute more strictly regulations on cryptocurrency and blockchain. For future, it is good, not bad.

After the recent collapse of FTX, the SEC met shortly after and said that creating a legal corridor to regulate cryptocurrencies should be accelerated because of the consecutive scams and crashes occurring in a short time. I don't know if the regulation will be good or bad for us, there are a lot of mixed opinions around it. But one thing I do know is that like it or not, regulation is inevitable and I believe it will come sooner than we think.

Citizens from countries whose governments do not adopt crypto will be the most affected since the current platforms grant access to it from any citizen in the world with very few exceptions.
I believe that decentralized platforms will receive more attention due to the lack of incidents related to them, and trading rates will drop sharply due to the decline in the demand for investments in the field of crypto.

[gantez]

Is it really over for crypto if Binance exchange or Tether go bankrupt like FTX?

But no, it wouldn't be over for crypto and certainly not for Bitcoin. It would be the end for thousands of useless shitcoins though and probably more exchanges/platforms that are in some way connected to Binance.

You are right that shitcoins will disappear if that happen because some are in binance with no impressive volume. It is good already that binance started to delist some of the shitcoins.

Can crypto survive without the centralise organizations and projects

Sure it can, but centralize exchanges would continue to exist, as before.

The crash that happen in FTZ will not stop centralized exchanges. They will exist as more people ready to hodl in exchange

[albon]

Is it really over for crypto if Binance exchange or Tether go bankrupt like FTX? Can crypto survive without the centralise organizations and projects?

Of course, this would be a disaster, and the entire crypto market may collapse due to the lack of confidence of investors, but as for Binance, I see that it is a strong platform and they have great measures that they take to keep the users’ funds safe. They have the best security systems in addition to specialized teams that work seven days a week very hard to make sure that the funds of the platform users are safe, Binance also has the SAFU Fund, which is the Secure Asset Fund for Users, and it had been topped up to a billion dollars. I do not recommend keeping money in the exchange platform whatever their commitments and transparency, but Binance is a strong platform by all standards, and the USDT team has its reserves In emergencies, they can restore the currency price in the event of a drop from its stable price.

[maxtra]

Binance and its tokens are part of the cryptocurrency industry, and while the exchange and its CEO rose to prominence in the industry, their downfall will have little impact on cryptocurrencies, current pricing, and the technology that powers them. 

Bitcoin was conceptualised almost a decade before the incorporation of Binance. The industry will get impacted, but cryptos are here to stay. 

[mindrust]

Is it really over for crypto if Binance exchange or Tether go bankrupt like FTX? Can crypto survive without the centralise organizations and projects?

A disaster.

Binance's collapse would affect almost everybody in a very bad way and tether's collapse would be ten times worse because almost every exchange is using tether's liquidity nowadays. Almost every crypto is being traded against tether nowadays, not against the US dollar.  Tether going down means liquidity is going down. When here is no liquidity, the price can be anything. $100 or $100k. It doesn't matter because nobody is trading it.

[o48o]

If they go down — like hacked/insolvent, then it's a safe assumption that we should expect a heavily extended bear market due to how big these entities are. Does it mean that bitcoin/crypto will die? Definitely not, just that people will be generally uninterested for a while.

And depending if any of that money gets recovered, that "for a while" could be years. Way longer then any bear market before this.
Currently there's scary amount of trust for tether and binance. Like something i've never encountered before these in crypto.
Old timers remember that mintpal seemed trustworthy too. And i am betting not many Cryptsy users were expecting what happened.

Compared to Binance, they weren't even regulated, but as we can learn from FTX, there's not nearly enough oversight from regulators yet to prevent Binance from crashing.

[passwordnow]

As for Tether, for sure that there will be a massive effect for bitcoin's price if ever something crazy goes off badly with it and that's why it's quite worrying but, the effect will just be temporary and then bitcoin will have its price stable again just like what it is right now. And the same goes for Binance, there could be the effect of it but it's not going to be big as what we're worrying about with it. We saw how FTX scenario has came and the market still continued to run so I guess, the whole market don't depend just on Binance or Tether or any other comparable company or cryptocurrencies.

[maxtra]

If Both go bankrupt, it could lead to a significant decrease in the value of Bitcoin, as well as the demise of the majority of alternative coins. This is because many altcoins are supported by large entities like Binance, and it is likely that many altcoin holders store them in their Binance accounts due to the lack of accessible open-source, non-custodial wallets.

[Bitstar_coin]

For Binance and Tether to crash simultaneously is better imagined that real.

Better imagined that real as you have rightly put it. Just few days back, a relative of mine also ask similar question and i told him not to think about negative things  because i really do not want to indulge him in such discussion.

Just the FTX bankruptcy, many people has lost faith in crypto and vowed not to return again.
Binance is the largest exchange and Tether is the largest stable coin and the second highest coin after Bitcoin.
If it happens it will be a total disaster.

Exactly, ftx debacle was not easy on investors and the entire market, almost all investor was in a panic frenzy even though some may try hard not to show it. Now replace that scenario to binance and tether at the same time  it is definitely not worth imagining