Bitfinexed was on LIVESTREAM last night debating the issue.

Contenders: Bitfinexed, Jimmy Song, Tone Vays (vs) Flibbr, and BTCVIX

TLDR Takeaways:

• Tether not being created out of thin air. Tether issued upon deposit of the dollar. Huge investor(s) with wiring issues make deposit arrangement to Bitfinex.  After deposits, Bitfinex creates respective tether.  Notice, the huge spike in tether happened once the bull market started picking up and hitting mainstream media.
• It would be highly unintelligent to create fraudulent tether in a fully public blockchain.  
• Friedman LLP balance sheet audit matched $400mm in bank account to 400 teather at the time. They make about $1mm in fees each day.
• Charts show no direct correlation between tether & price spikes.  
• If there is possible Fraud, the market would price in $1 USDT at less than $1 USD.
• There is no proof that Bitfinex is have withdrawal problems, no complaints anywhere.
• Tone Vays has an awesome haircut

"Bitfinexed on why Bitfinex is in trouble - Off Chain Live 2017.11.20"
https://www.youtube.com/watch?v=TerIjELO7IY