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> My personal, completely unsubstantiated view is that Tether is probably a huge scam.

Tether's not really doing anything different from the what banks do every day. If it crashes the government should just bail them out like they did with the banks in 2008. They will spare banks from the consequences of their actions, so there's no reason why they can't do the same for Tether.

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Bank accounts are FDIC insured up to 250k, coinbase/tether/etc are not.

Also: the banks were expected to and did pay it back collectively, with profit.[0] I don't see how Tether could do that if it turns out the fundamentals are bogus.

[0] https://projects.propublica.org/bailout/

There's an incentive to bail out the banks to keep up trust in the currency, so government can print more. What would be the incentive for crypto?

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