4 ms·
They are better regulated and therefore less risky than Tether, which raises the interesting question, Why is USDC circulation only 20% of Tethers...
by raesene9 6y ago
They are better regulated and therefore less risky than Tether, which raises the interesting question, Why is USDC circulation only 20% of Tethers...
- xur17 6y agoI agree, and it does surprise me, but I think it's a mix of 1. tether has been around a lot longer and is on a lot more exchanges 2. tether is.. less well controlled by US regulators and hence better for.. questionable exchanges to list.
- raesene9 6y agoChallenge there is that it doesn't fit the narrative that Tether give about the demand being from "institutional investors". That kind of customer tends (IMO) to be very risk averse. Of course it is possible that Tether are getting custom, but not the kind that wants to leave a bank trail. But if that's the case they're going to fall foul of the regulators sooner or later...
- qes 6y ago> Challenge there is that it doesn't fit the narrative that Tether give about the demand being from "institutional investors" Market makers and trading shops with 7-8 figure funds playing with riskier cryptos or trying to tap worldwide volume. It's not MicroStrategy and Mass Mutual Insurance using Tethers
- raziel2p 6y agoAlmost as if crypto is mostly about investment speculation and gambling, and not so much about actually useful assets.
- leppr 6y agoHave you considered the fact that "better regulated" might not be an advantage for someone using it as a capital flight tool? A big value proposition of Tether as an on-ramp is its discretion.
- raesene9 6y agoAbolutely I have, I also think that regulators in places like the USA are very likely to crack down on any company providing that kind of service :) The most likely threat to Tether as a currency (IMO), is that one or more large countries outlaws its use, and/or decides to prosecute its owners...
- leppr 6y agoDon't put too much hope on that. The only country that would realistically single Tether out to "outlaw" it would be the US. They may do so, but even then they won't be able to stop the redeeming process from taking place abroad. That may mark the beginning of a slow decent, but no threat to current holders of the token IMO.
- deleted 6y ago[deleted]
- pawelduda 6y agoCould be a first-mover advantage for Tether and the fact that there haven't really been alternatives for a long time. Even if there are now, people are slow to catch on...
- csomar 6y ago> They are better regulated You just answered your own question.