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If Tether is redeemable for USD on demand, then Tether sounds suspiciously like some sort of a bond that is evading regulation. Maybe my terms are laymenesque,
by IncRnd 5y ago
If Tether is redeemable for USD on demand, then Tether sounds suspiciously like some sort of a bond that is evading regulation. Maybe my terms are laymenesque, but I think my point still stands.
- AlexandrB 5y agoLuckily their TOS says: > "There is no contractual right or other right or legal claim against us to redeem or exchange your Tethers for money." Edit: Oops this has been updated to: > Tether reserves the right to delay the redemption or withdrawal of Tether Tokens if such delay is necessitated by the illiquidity or unavailability or loss of any Reserves held by Tether to back the Tether Tokens, and Tether reserves the right to redeem Tether Tokens by in-kind redemptions of securities and other assets held in the Reserves. > Any individual who is a U.S. Person and any entity that is a U.S. Person is prohibited from using the Site or any Services, including but not limited to using a Digital Tokens Wallet on the Site [1] https://news.ycombinator.com/item?id=19793368 https://news.ycombinator.com/item?id=19793368
- freeAgent 5y agoIt amazes me that more people don't read the Tether ToS and run away.
- hackernudes 5y agoMaybe people are trying to run away from their own country's currency even more urgently? Is it really risky to get some tether for a short time to buy some other cryptocurrency? Maybe the question is why do some big exchanges still work with tether? Must be worth it to them!
- freeAgent 5y agoWho specifically are you talking about? In many countries with inflation problems, USD aren't hard to come by. In countries with no access to USD and/or capital controls...then yes, Tether kinda sorta makes sense as an intermediary to get to another asset, but that does absolutely nothing to explain why Tether's issuance exploded and continues to rise exponentially (at least through the end of March 2021 before pausing for a few months without explanation).
- jazzyjackson 5y agoWell exchanges take a percentage of each trade, so the higher the price is pumped via tether, the higher their revenue, right?
- merely-unlikely 5y agoTether volume has stagnated compared to other stablecoins like USDC
- freeAgent 5y agoTether is still growing, and I think you meant to say "supply growth" rather than volume. Tether is still, by far, the most traded "cryptocurrency" asset. It's traded about 2x more than Bitcoin.
- cowvin 5y agoHoly cow, they literally say that they reserve the right to never give you a dollar for a tether and people still trust it?