fiat isnt backed by anything either
ANOTHER 25 MILLION TETHER CREATED
Brody Evans
John Robinson
You have absolutely no idea how tether works.
It's just a token that represents 1 USD. If everyone treats it like 1 USD, it's 1 USD. It's only worth 1 USD because there are USDT/BTC markets, and there are USD/BTC markets. The gaps between USD and USDT markets are automatically closed by arbitrage bots, people are making money by closing every difference in price.
Levi Robinson
it's actually a tool for money launderers to bypass the kyc/aml. so usd/usdt arbitrage prevents them to release tethers out of thin air? They can just create millions of tethers out of thin air, buy bitcoin and cash out.
Adam Baker
But McAffee told me 1 Bitcoin will be worth 2.5 million dollars in three years ...
Sebastian Ortiz
so can banks with fiat
Thomas Evans
and you understand that when banks to it it devalues fiat. here it devaluates btc.
Robert Foster
the evidence would have to be a large part of the market cashing out USDT
You guys forget or selectively read the part about the last tether pump, where they replaced the the fake dollars with real ones after they won the bet (that it would pump bitcoin).
If this pushes BTC back up they'll win again and iff the USD notes are fake this time too, they'll just be replaed again with the winnings.
Kayden Ramirez
it doesnt becauss btc is capped at 21m.
what it does is make btc into a bubble