This has been posted here before and I just sort of skimmed the article and thought it was just FUD. But after actually reading it, holy fuck they have 100% evidence that Bitfinex is the next Mt. Gox and that Tether is a fractional reserve. Holy fuck I don't even know how to react to this shit... and the news is spreading like wildfire. Bitcoin has just become the most toxic asset on the planet:
medium.com
Furthermore, I lost it at the ridiculousness of the "Spoofy" rumor on Zero Hedge. Obvious FUD is Obvious, right? Fucking gold bugs, right? However, it's fucking TRUE:
cointelegraph.com
"Spoofy" is this faggot: bfx_drew. Tether has NEVER. BEEN. AUDITED.
Also, it is just a coincidence that 2/3 of all the Tether in existence is currently in a margin long on an exchange that just so happens to be a sister company to the company issuing Tether? Is it just a coincidence that all this shit started to happen shortly after Bitfinex lost its banking connections?
This is FUCKING BIG.
Once that long closes, there will be so much blood on the streets, law enforcement is going to get involved, holy fuck. HOLY FUCK.
This entire crypto bubble is caused by Tether. All the rumors are true. All the evidence is true.
...
Yes, both evidence and theory look pretty solid. We’ll see whether it really blows up.
I've been hoping for a good dip but I think this is going to be a little too much.
It's EVEN WORSE!! Tether was created after Bitfinex was hacked. Bitfinex did some really sketchy shit after the hack, dividing losses among everyone evenly, giving everyone a shit coin they created, then buying the shit coin for Tether.
TETHER IS NOT BACKED BY USD. IT SAYS ON THEIR WEBSITE THAT THEY HAVE NO OBLIGATION TO BUY IT. WHY WOULD THEY SAY THAT??
IT'S A FRACTIONAL RESERVE!!
Also, there was only 10M Tether at the start of the year. There are now about 300M Tether, almost all on Bitfinex, which is a "sister company" to Tether, and they have NO BANKING CONNECTIONS.
How did they get $300M in under a year without being able to do wire transfers? How did that $300M end up in a "sister company"?
neocashradio.com
HOLY FUCK HOLY FUCK HOLY FUCK
LOOK AT THE DATES
TETHER IS FAKE MONEY, THEY LOST THEIR TAIWAN CONNECTIONS TOO.
THERE IS NO WAY AT ALL TO REDEEM LARGE AMOUNTS OF TETHER!!
RUN BY A KNOWN SCAMMER
WHAT HAPPENS WHEN POLO STOPS USDT TRADING???
HOLY FUCK THIS IS THE NEXT GOX
THE ENTIRE BTC PUMP WAS WITH FAKE MONEY
Took all my iota off finex. Thanks OP
I would also point out that Bitfinex and coinbase are the only exchanges currently with bitcoin top on trade volume. Coinbase for obvious reasons.
Theres a lot of denial about tether. People do not want to believe its worthless. Because the front page of their website says its backed by dollars. Their legal however, makes it pretty plain they will never reimburse anyone for their tethers
>7 posts by this ID
Nice blogs, faggot
thanks for info will kms now
8 now, this is the biggest news of the decade
this is game changing, the next gox. it literally will change the history of crypto
what do you expect out of this? BTC plummeting to 2k?
2k? More like $100
lol can't go that down
Oh op you fuddy duddy. Just use nubits.
BTC is a dinosaur and all this forking is its death knell. This last orchestrated pump was intended to allow whales to get out relatively unscathed before it collapses.
so again,where do you think it will lay after?
Back when I looked at it, the fine print for Tether clearly stated that they wouldn't exchange it with you for real dollars. Anyone who actually does a little bit of their own homework has known for a while that Tether isn't "backed" by anything in any meaningful sense. Why are you sperging out over this? Are you 12?
$200-300, just like after GOX. Speculators will be gone, and the only thing propping up value will be its use on black markets, at least until Monero takes over that function due to its improved security/anonymity.
Why do people shill their shit like this
>300 little million can bring 40 billion down
Yeah keep the fud up
>too much
>implying
What I wouldn't give to buy into btc at $1800 again, but this time with $70k instead of $2k.
OP you also forgot the part where the CFO said "We’re not criminals, but now we have to learn to bank like criminals." and left out the parts where the CSO Phil Potter admits to trading on BFX and that two of the ten top traders token holders are BFX staff members .
OP is sperging out because bitfinex owns tether, and usdt is used on a lot of major exchanges. The issue isn't that dollars aren't being exchanged for tether, it's how tether is being used. USDT lost their banking partner in April and have issued hundreds of tether since then, a lot of which has been sent to their sister company bfx which shared the same banking partner. There's no way of knowing if they actually have the assets they claim to have, and if bfx is actually buying usdt at a 1:1 rate unless they're audited.
911
I can see how that behaviour is dodgy but I don't see how it's relevant if it was never exchangable anyway. Maybe I'm misunderstanding something here, but it looks like a situation where I can prove beyond reasonable doubt that I've got a million dollars in my bank account, so I print off a million Anondollars that are "backed" by my bank account but I say that I'll never actually give you a real dollar if you want to cash in one of my Anondollars. In that case, it doesn't matter how much real money is in my bank account because you can't have any of it no matter what. From what I can see, that's what Tether is.
If you have the money frozen in your bank account, it is, at the very least, real money practically invested into BTC/whatever was bought with the tokens.
However, if the money isn't there, there hasn't been a real money investment. So even though it might seem like millions of capital have been flowing into BTC, they actually haven't.
this is serious SEEEEEEEEEEEELllllll
who would put 80M into usdt to buy bitcoin? nobody, unless they are criminal groups wanting to launder money through bitcoin
Or they're bfx employees looking to make easy money. You have to give background checks if you ask for that much money (over 10 million) and I believe usdt is the only one that would issue that much. It was issued in 20 million dollar increments I believe.
But the point to a derivative instrument, which Tether is promoted as, is to actually control x amount of the underlying asset. If you buy wheat futures, you're buying real wheat for future delivery and you can actually execute the contract and have real wheat delivered to you if you want (though people rarely do that). If you buy stock options, you have the right to actually buy x number of shares of the underlying stock. Tether never gave you the ability to receive anything ever, so it doesn't matter how much money the guy issuing it had "invested" in some frozen bank account somewhere.
OP what should i do?
Becoming a nocoiner is not an option for me.
>is to actually control x amount of the underlying asset.
but they sont control any amount behind it. It was never audited.
my plan was to sell and buy back later when it crashed. See how the price dropped after mtgox. Big money wont come into btc with all the current shenanigans. Shady exchanges like bitfinex and polo must die first.
Even worse than not audited, but provably false lies about the audits! Friedman LLC is auditing Bitfinex, not Tether, but Bitfinex employees are lying about the audit including their sister company (which it doesn't).
Tether has NEVER been audited. Why would it lie about this?
Right, and it's certainly dodgy of them to act like they do have x number of USD when they can't prove it. Don't get me wrong here, but what should matter more to the investing public is that you, the investor, never had the right to control any real USD no matter how much Tether you owned and no matter how much USD existed in some bank somewhere. It was basically designed to not be legitimate.
the sooner the crash the better. Institutional investors are all ready to jump in, but it needs more regulation first and the bubble to pop.
I'm not a weak hand but this shit is real and I couldn't sleep at night knowing the bubble may pop in the next minute. I sold every btc i bought above 2000$
funny how r/bitcoin has no thead about it. they must be realizing the whole thing was fake pumped and are scared shitless, discretely cashing out.
dont you know r/bitcoin is censored/crooked af thats why bcc taking over (besides the faster transaction times, lower fees, and mining profitability) its pumping rn do some research