That's already happened, and has been continuously occurring since 2017 when Wells Fargo shut down their links to the traditional banking system. Tether continu

That's already happened, and has been continuously occurring since 2017 when Wells Fargo shut down their links to the traditional banking system. Tether continues to trade at the peg because people believe it to be pegged. The only way the Tether peg could possibly be realistic is if massive amounts of institutional investors were engaging in really unusual settlement procedures to buy into Tether. I've heard stories about Tether having it's investors operate accounts on it's behalf or something, which sounds incredibly farfetched compared to the more likely idea that they're just not bothering maintaining anything close to a reasonable reserve requirement for their peg. After all, nobody can really pull money out of Tether.