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In related news, Tether has minted $3B USDT in the last month: https://beincrypto.com/tether-mints-three-billion-usdt-past-two-weeks/ https://beincrypto.com/tet

In related news, Tether has minted $3B USDT in the last month: https://beincrypto.com/tether-mints-three-billion-usdt-past-two-weeks/ https://beincrypto.com/tether-mints-three-billion-usdt-past-...

shiftpgdn 5y ago
Hang on, minting and circulating are different things. The USDT circulating supply is currently approximately 76 billion.
- vmception 5y ago
  Literally nobody claimed otherwise.
- fastball 5y ago
  Right, they minted $3B, taking the circulating supply from $73B to $76B.
  - nightski 5y ago
    Do you have any evidence of that other than the parent link which looks kind of scammy? Everywhere else I have read that the minted $3B is not circulating yet, it's waiting for new purchasers of Tether. Not saying you are wrong by any means, I'm genuinely curious.
    - jstx1 5y ago
      What does "minted" but not circulating Tether even look like?
      - bidirectional 5y ago
        Tether minting coins and holding them until someone comes along and exchanges dollars for them.
    - vmception 5y ago
      Tether mints the tokens upon deposit of fiat on Bitfinex exchange OR when the Tether peg increases above $1 too far. Users are incentivized to do this as well (deposit dollars onto bitfinex, get new tether for that 1:1, sell new tethers above the peg on the open market, pushing the peg down) Circle/Coinbase use the exact same mechanism. These kinds of stablecoins are destroyed only upon explicit redemption. Not when sold to someone else on the open market. It’s not that different from a brokerage account’s deposits. People don’t actually withdraw that much because they don’t need that much cash. They keep their cash in those ecosystems waiting for other trading opportunities and add more from other sources into the exchange. I know it’s absurd to assume tether functions as described, 99% of the time for 99% of the value. But the market is showing the same thing with stablecoins that are better governed. For the decentralized/permissionless/uncensorable minded people, The best bet is for other kinds of stablecoins to grow faster
TacticalCoder 5y ago
Yes, and although likely a scam, here's another datapoint: Coinbase, an Y combinator unicorn, is behind Centre/Circle and the USDC stable coin. And there are now $41.5 bn USDC circulating. At one point it was billion of USDT circulating and USDC didn't exist yet. Then USDC began to took off and there were, out of memory, $5 bn USDC and $23 bn USDT. But, overall, the trajectory is clear: USDC is growing faster than USDT. It's $41.5 bn vs $76 bn today. Maybe in a few months USDC shall catch up, then maybe even surpass USDT. Do we all believe Coinbase and its Centre/USDC stable coin is a scam? It's an american company, with real people behind it. It's not some scammy thing in the Bahamas. Now here's an intriguing question: if we believe Coinbase isn't a scam and that these $41.5 bn USDC are really mostly or all backed, does tether's $76 bn really look that unthinkable?
- deleted 5y ago
  [deleted]
- yrral 5y ago
  Another datapoint: USDC minted 7b in the last 30 days. Does 3b tether in the same time period seem unreasonable?
  - ivalm 5y ago
    The problem with tether is not the amount minted/in circulation. The problem is that they definitely lied previously about their backing and are probably lying now. If you claim to be one of the worlds largest commercial paper holders yet no one knows whose commercial paper you are holding then that is suspicious. It’s unimaginable that a new large player entered the market and nobody noticed.
- deleted 5y ago
  [deleted]
- mdoms 5y ago
  > It's an american company, with real people behind it. It's not some scammy thing in the Bahamas. Oh yes I forgot Americans can't be scammers.
cdiddy2 5y ago
Its also being used as the currency for now ousted Myanmar govt https://www.aljazeera.com/economy/2021/12/14/myanmar-shadow-government-approves-crypto-as-official-currency https://www.aljazeera.com/economy/2021/12/14/myanmar-shadow-...

In related news, Tether has minted $3B USDT in the last month: https://beincrypto.com/tether-mints-three-billion-usdt-past-two-weeks/ https://beincrypto.com/tether-mints-three-billion-usdt-past-...

shiftpgdn 5y ago

Hang on, minting and circulating are different things. The USDT circulating supply is currently approximately 76 billion.

vmception 5y ago
Literally nobody claimed otherwise.
fastball 5y ago
Right, they minted $3B, taking the circulating supply from $73B to $76B.
- nightski 5y ago
  Do you have any evidence of that other than the parent link which looks kind of scammy? Everywhere else I have read that the minted $3B is not circulating yet, it's waiting for new purchasers of Tether. Not saying you are wrong by any means, I'm genuinely curious.
  - jstx1 5y ago
    What does "minted" but not circulating Tether even look like?
    - bidirectional 5y ago
      Tether minting coins and holding them until someone comes along and exchanges dollars for them.
  - vmception 5y ago
    Tether mints the tokens upon deposit of fiat on Bitfinex exchange OR when the Tether peg increases above $1 too far. Users are incentivized to do this as well (deposit dollars onto bitfinex, get new tether for that 1:1, sell new tethers above the peg on the open market, pushing the peg down) Circle/Coinbase use the exact same mechanism. These kinds of stablecoins are destroyed only upon explicit redemption. Not when sold to someone else on the open market. It’s not that different from a brokerage account’s deposits. People don’t actually withdraw that much because they don’t need that much cash. They keep their cash in those ecosystems waiting for other trading opportunities and add more from other sources into the exchange. I know it’s absurd to assume tether functions as described, 99% of the time for 99% of the value. But the market is showing the same thing with stablecoins that are better governed. For the decentralized/permissionless/uncensorable minded people, The best bet is for other kinds of stablecoins to grow faster

TacticalCoder 5y ago

Yes, and although likely a scam, here's another datapoint: Coinbase, an Y combinator unicorn, is behind Centre/Circle and the USDC stable coin. And there are now $41.5 bn USDC circulating. At one point it was billion of USDT circulating and USDC didn't exist yet. Then USDC began to took off and there were, out of memory, $5 bn USDC and $23 bn USDT. But, overall, the trajectory is clear: USDC is growing faster than USDT. It's $41.5 bn vs $76 bn today. Maybe in a few months USDC shall catch up, then maybe even surpass USDT. Do we all believe Coinbase and its Centre/USDC stable coin is a scam? It's an american company, with real people behind it. It's not some scammy thing in the Bahamas. Now here's an intriguing question: if we believe Coinbase isn't a scam and that these $41.5 bn USDC are really mostly or all backed, does tether's $76 bn really look that unthinkable?

deleted 5y ago
[deleted]
yrral 5y ago
Another datapoint: USDC minted 7b in the last 30 days. Does 3b tether in the same time period seem unreasonable?
- ivalm 5y ago
  The problem with tether is not the amount minted/in circulation. The problem is that they definitely lied previously about their backing and are probably lying now. If you claim to be one of the worlds largest commercial paper holders yet no one knows whose commercial paper you are holding then that is suspicious. It’s unimaginable that a new large player entered the market and nobody noticed.
deleted 5y ago
[deleted]
mdoms 5y ago
> It's an american company, with real people behind it. It's not some scammy thing in the Bahamas. Oh yes I forgot Americans can't be scammers.

cdiddy2 5y ago

Its also being used as the currency for now ousted Myanmar govt https://www.aljazeera.com/economy/2021/12/14/myanmar-shadow-government-approves-crypto-as-official-currency https://www.aljazeera.com/economy/2021/12/14/myanmar-shadow-...