4 ms·
Tether IMO is a completely different story. What does it have to back up the peg?
by hnthrowaway0328 4y ago
Tether IMO is a completely different story. What does it have to back up the peg?
- gruez 4y agoMostly "commercial paper" (debts)
- hnthrowaway0328 4y agoGovernments have violence and it is even better than gold/wood/whatever commodity. What does Tether have?
- chalst 4y agoDebts held by a company that has refused to be subject to a traditional audit. Only the credulous would have confidence that a high proportion of this debt is good.
- chalst 4y agoThe initial claim was that Tether was 100% backed. When it was revealed beyond reasonable doubt that these claims were false, Tether's proponents pivoted to claiming that the peg was defensible. Because the peg was defended for some time, these proponents gained a certain amount of credibility among the gullible. Looking at the history of markets to try to understand the difference between pegs that can withstand the shifting tides of market sentiment vs those that cannot is a useful exercise. I am pleased to see this article on the HN front page.