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250 million tethers appeared in 2 days? Is there anything close to an audit of what Tether Limited are actually holding? Why are people fooled by a cryptocurren
by mcintyre1994 9y ago
250 million tethers appeared in 2 days? Is there anything close to an audit of what Tether Limited are actually holding? Why are people fooled by a cryptocurrency supposedly backed by USD that obviously isn't?
- davidgerard 9y agobecause NUMBER GO UP Really, that's the whole reason. As long as the Bitcoin market keeps treating Tethers like real dollars, the NUMBER KEEPS GOING UP, the media keeps running articles on this exciting new asset class and new bagholders keep putting their cash in for existing holders to cash out with.
- mcintyre1994 9y agoPresumably the exchanges are all correlated enough that Bitfinex can pump BTC and whatever else across the market by injecting Tethers?
- davidgerard 9y agoarbitrage is difficult because the market is stupidly inefficient, but yes, the prices do more or less correlate. e.g., last night when they arrested the fall with 100m more Tethers, the price shot up $1000 on Bitfinex and about $400 on GDAX a bit later.