Quote from: shinratensei_ on Today at 03:21:04 AM

Quote from: mt55 on July 17, 2020, 07:44:16 PM

At the end of the day tether will still exists and remain at $1 even if it is a fractional reserve rather than 1:1 . Heck the money in our banks are fractional reserves too but that does not stop everyone from mass panicking and withdrawing.

If it's fully backed and it will always be stable because it's pegged with the commodity that has already used to backed tether with 1:1 ration. Sometimes the flash dump can make it goes even lower than the 1;1 rate caused by the market has no liquidity but it looks like everything is stable right now.

I'll be a bit skeptical about the fiat-backed fraction 1:1. Until now, I can't find any trusted source that says Tether was back 100% by real US Dollars. However, because we don't have too much choice in the market, Tether is usable and reliable for now. We can't say anything for sure for the future, but right now USDT is one of the best stable coins that we can use!