💱 Tether Rears its Ugly Head Again - Meat to this?
What crashed the markets a few months ago was rumors of tether being generated and manipulating the markets. Well it is back yet again crashing the markets to where we stand today at $6,297 per this post. Good old Bitfinex and Tether you know that coin that should be worth $1 USD for every 1 that exist at this very moment. Might actually not be a thing or worth far lower then $1.
This is all still speculation and nothing has been confirmed yet till the investigation is completed however speculation still circles that audits on tether which should have been done monthly have still failed to produce just one. We also remember the news of the company that was to do the audits backed out of the deal and left without saying a word. This raised some serious alarms but now with this full investigation going on we might very well find the truth.
My hope is this is all FUD but when you map out the events it looks very skeptical that tether actually is $1 USD.
If its found not to be an manipulation turns out the ramifications could be crazy hard. It would mean every altcoin, bitcoin and Ethereum etc where all traded with fake currency that did not really hold a value of $1 USD and instead could be a much lower number.
I hate to say it but those of you HODLing I think we going to be HODLing for a few more years till everything settles and adoption really starts happening.
Here is to good vibes and hoping for the best!
Whats your opinion? Could there be some meat behind this accusation or is it just another FUD attempt? Do you feel tether really is worth $1 USD ?
I don't quite understand how these "manipulations" actually happen. What's behind all this?
The theory is the exchange Bitfinex has a coin on their exchange they created called tether. Tether coin is suppose to be $1 USD per each coin. You buy these to avoid large fees etc for trading.
Tether was suppose to have monthly audits to show clearly how much money was going in how it matched up to how many tether where out there. However we have yet to see one successful audit.
Since its a Bitfinex coin they can in theory produce/release as many as they wish. So lets say people bought 1 million Tether they would "print" "release" 2 million instead. This makes the real value of the coin $0.50 not $1 anymore. However to everyone trading it it still looks like $1
Combine that over many months and millions of transactions and your left with a seriously inflated mess
The market crash may of had more do to with the recent attacks to various small cap altcoins. 51% attacks are on the rise and that spreads more FUD than anything.
Tether is an issue the market may have already priced in but nobody saw the hacks coming.
Out of the chaos we'll have stronger Crypto/Blockchain services. I believe we'll be fine.
Cheers
I think it all is a manipulation turn :(