Hey guys,
so I know the talks about tether and whether or not they are backed and how is almost as old as Bitcoin itself.
However, this is the only risk that I cannot fully grasp or understand. I see that they minted another billion USDT in the last week.
All the other arguments of anti Bitcoiner (energy, volatility, ...) I can counter.
Is Tether also the thing you are most unsure of?
Would like some input, THANKS
The problem with tether is that it will be difficult to verify if Bitfinex has enough reserve funds to back the stablecoin. The so-called reserve data can be faked or manipulated. Most of these centralised platforms publish fake audits or data to deceive customers. Some numbers shown in some of the insurance funds or proof of reserve are randomly generated to make these platforms look healthy, this was the case with FTX. Some of these centralised crypto firms even go to the extent of borrowing money to balance and publish a clean account and these funds will be withdrawn and given back to the creditor. It was suspected that crypto.com borrowed $400m from Gate.io to aid it in publishing a clean PoR audit report. Binance and Bitfinex are also guilty of moving funds immediately after publishing so-called audit reserves reports. These centralised platforms cannot be trusted because they engage in so many shady practices. so I know the talks about tether and whether or not they are backed and how is almost as old as Bitcoin itself.
However, this is the only risk that I cannot fully grasp or understand. I see that they minted another billion USDT in the last week.
All the other arguments of anti Bitcoiner (energy, volatility, ...) I can counter.
Is Tether also the thing you are most unsure of?
Would like some input, THANKS
Check this thread: https://bitcointalk.org/index.php?topic=5469988.msg62978993#msg62978993