https://medium.com/@nic__carter/assessing-bitcoins-liquidity...
[0] https://wallet.tether.to/transparency [1] https://mobile.twitter.com/bitcoinlawyer/status/135164200602... [2] https://modernconsensus.com/cryptocurrencies/tether/feds-jus...
Here is a study arguing the opposite - https://voxeu.org/article/stable-coins-dont-inflate-crypto-m...
> The right to have Tether Tokens redeemed or issued is a contractual right personal to you. Tether reserves the right to delay the redemption or withdrawal of Tether Tokens if such delay is necessitated by the illiquidity or unavailability or loss of any Reserves held by Tether to back the Tether Tokens, and Tether reserves the right to redeem Tether Tokens by in-kind redemptions of securities and other assets held in the Reserves. Tether makes no representations or warranties about whether Tether Tokens that may be traded on the Site may be traded on the Site at any point in the future, if at all.
> The following Persons are prohibited from depositing to, or withdrawing from, any Digital Tokens Wallet on the Site: > any Person that resides, is located, has a place of business, or conducts business in the State of New York; and > U.S. Persons.
[1] Volume charts and breakdowns are available in lots of places as the data is public, but the easiest chart is halfway down the right side of the page here. "Money flow from/to Bitcoin in the last 24 hours" https://coinlib.io/coin/BTC/Bitcoin
[2] there used to be a site called "omniexplorer" for navigating the Tether chain transactions, but it seems it went down. Now you have to piece it together using tools like blockchair, but it's far more difficult to read to find the coinbase transactions. https://blockchair.com/ethereum/erc-20/token/0xdac17f958d2ee...
Additionally, if that bank goes bankrupt, the money is not secured.
If people are thinking of buying and selling BTC, should they start with another crypto currency until the Tether issue is resolved?
If you have an IOU from the US government for $100 it's worth about $99 on the open market.
If you have an IOU from a highly rated US company (e.g. Ford) for $100 you'd expect it to be worth about $94.
Yet we're somehow supposed to believe than an equivalent IOU from tether is worth more?!
Oh and the US Government and Ford will probably pay you some form of interest if you hold it long enough...
It simply doesn't add up!
If the market believes Tether is not backed by real currency, shouldn't it be trading at a discount to USD?
What's the opposite of FUD, when people with a massive financial stake in something do nothing but tell everyone everything is great all the time, and never acknowledge any issues?
But thanks for the link to a person who clearly has no financial stake in the success of Bitcoin, right?
It seems pretty natural to me that someone who believes in Bitcoin would also purchase it.
I think it's cool too, and have ~5% of my portfolio allocated to BTC, ETH and XRP.
But I don't go around pretending it solves all of the problems of the monetary system. It's better in some ways, and (much) worse in others. I also don't dedicate my life to pumping it on social media.
>It seems pretty natural to me that someone who believes in Bitcoin would also purchase it.
If only we'd have the same mentality with short sellers, but instead we label them FUD.
That's important to note, but where does he argue that the central and most important claim - i.e., that Tether isn't fully backed and is therefore liable to collapse like a house of cards - is false?