I cashed out yesterday. The Tether shit was nauseating and terrifying to discover. If you're not familiar yet...

I cashed out yesterday. The Tether shit was nauseating and terrifying to discover. If you're not familiar yet, or haven't bothered to look into it, you owe it to yourself and anyone who depends on you to read these two pieces:

medium.com/@bitfinexed/the-bitfinex-dilemma-blow-up-now-or-try-a-hail-mary-to-retain-in-business-10b9d989359f

ofnumbers.com/2017/11/09/a-note-from-bob-on-the-transparency-of-tether/

Furthermore, follow the writer of the first piece on Twitter. He's doing a heroic job and is about to become famous.

twitter.com/Bitfinexed

So these things are not in question:

--You ARE being mtgox'd.
--One day Bitfinex will close, and with it will go the Tether system they operate fraudulently.
--The resulting crash will be the biggest in crypto history.
--Your pipe dreams of cashing out at 50k/BTC are going to destroy you.
--You can still get out.

These are still open questions:

--What kind of an event would cause Tether to become insolvent, or cause Bitfinex to stop operating?
--How much time is left?

What say you, user?

Other urls found in this thread:

warosu.org/biz/?task=search&ghost=&search_text=bitfinexed
cdn.howmuch.net/content/images/state_landvalue_v4_900-0ba1-98ea.gif
steemit.com/bitcoin/@cryptobrodog/usdt-the-biggest-scam-in-crypto-history
twitter.com/SFWRedditImages

So you're telling me that Crypto will have a huge clearance sale when we get Bitfinexed? Noice, more cheap LINKS

already know that. bump for truth and because i cant stand dinosaur coin any longer

If Tether issue really blows up, whole market will go down the drain

warosu.org/biz/?task=search&ghost=&search_text=bitfinexed

pls stop

>Furthermore, follow the writer of the first piece on Twitter. He's doing a heroic job and is about to become famous.

kill yourself you autistic fuck. your twitter account is aids.

>dinosaur coin
Literally all coins are worthless when this pops, moron. Shitcoins are literally worthless afterwards because everyone will think you're a scammin' jeet.

i hope it does.
dinosaur coin holds back Crypto as a whole and is just outdated.

This theory has lost legitimacy for me because it's obvious that it's being spammed by pajeets for their own benefit.

>What kind of an event would cause Tether to become insolvent, or cause Bitfinex to stop operating?
government intervention and nothing other than that, tether is the very epitome of liquidity
tether will not be the cause of a crash, because it is only insolvent in a bank run, and a bank run on crypto will destroy all exchanges equally

Fincen investigators are gonna find a link between Bitfinex / Tether and BTC-e money laundering activities. This will kill the scam for good along with that shitcoin BTC

how so?

Its called fud and you fell for it

You need to think about incentives.
Why would people spread all this tether FUD?
I think the answer is obvious considering the current situation.

Whats the difference between bitfinex USDT printing and USD printing by the FED? USD is printed much much more.

AAAAAAAAAAAAAAHAHAHHAHAHAHHAAHAHAHHAHAH Y-YES!!!! It's 100% going to FUCKING happen. You see that? IT'S HAPPENING. Soon...

if that shitcoin goes down, everything goes down......deal with it

MTL, ripple and digibyte will stay strong. their price is mostly based on USD.

bitfinex is doing god's work whatever they're doing. they're undoubtedly slimy but clearly a lot more competent than mt gox, and the wind is behind them at this point

God I swear you Bcrash faggots are fucking dumb, celebrating the death of crypto.

Stop spamming this conspiracy garbage. Proof that it is not 1 to 1 or gtfo

We'll see

b

Both of these articles are written by people who are way too into the "currency" part of cryptocurrency. I'm not saying they're both 100% accurate, they're not, but it's like someone who spent 20 years as an auto mechanic and knows very little about trains trying to explain how trains work.

Not only are neither qualified to write about this subject by itself, they fall FAR short or the required understanding required to liaise information to the masses.

>It's as in they create USDTs out of thin air
Yeah, that's how electricity works too, if you know nothing about electricity.

Cryptocurrency isn't currency, it's a capital asset. It's traded as a capital asset. It's even taxed as a capital asset. The author's description of buying into a market is literally the description of buying into ANY market, too. No shit you have to buy the asset from someone to have the asset for yourself - welcome to every market in the history of ever.

As far as the inflation aspects of the articles - they are completely ignoring volume and the normie influence. Mark fucking Cuban tweeted that he's into crypto. Forbes is writing articles about it. Retirement funds are looking at it to utilize long-term capital gains taxes. Normies in their 40s are learning about this shit. Boomers are getting into it.

And these are written from an uninformed POV and trying to explain every bullish market day with a centralized scam of some kind.

I did two usdt-btc flips yesterday - am I in on this "scam"?

what about bittrex tethers? same shit?

This reads like a guy desperate to bring down the market for his own financial benefit

You are unironicaly retarded. There is reason why companies are not allowed to create currency which could challenge national currency. National Currency is heavily regulated and only banks are allowed to loan more money than they have. Once usa or major power will start investigation/audit of tether, they will find fraudulent book keeping and gonna get uncle Sam thick cock

MtGox caused dip
FFS hope this will be the same and crypto wont tank completely

>People defend housing market in 2007 too

the fed isnt going o shut itself down for doing it. (assuming its true)

>There is reason why companies are not allowed to create currency which could challenge national currency.
I guess store credit doesn't exist, then. I guess credit card points don't exist then. I guess airline miles don't exist then. I guess video games with in-game money that you can pay real money for don't exist then.

>Veeky Forums unironically thinks tether is a scam.

Wouldn't expect anything more from a board of larping /pol/ fags, pajeets and virgins

thanks op

can i sell my airline miles? can i sell my gold in ww, can i sell credit card points? fucking no!

Whats up with housing market meme
When SHTF you hodl
It was anothe unnatural dip
check the gif

cdn.howmuch.net/content/images/state_landvalue_v4_900-0ba1-98ea.gif

All along, they've said right on their website that holders of tether are not entitled to exchange their tethers for real USDs or anything else. There was never any meaningful link to any fiat currency. Anyone who took 30 seconds to look at their website has known this all along, yet every so often, we get some tard sperging out like this.

None of these are centralized pegs to the US dollar or claim to be the equivalent of the US dollar.

and then link saves the crypto world
and enables smart contracts.
and no one gets fucked.
thanks op!
chainlink is the future!!!
chaaaaaaaaaaaaaaayn
leeeeeeeeeeeeeeeeeeeeeeeeeeeenk!

Well, see, unlike the Fed, the owners of bitfinex are totally unacc...

I mean, they're self-interestedly making one group rich with no regard for ethics or infla...

Look, it's just bad, ok?

How does your argument make any fucking sense. It doesn't even address the tether issue as OP posted. Ofcourse there's normies and shit buying into it but that doesn't detract from the fact VALUE gets created out of thin area.

So how would one make money from this

Convert everything into true fiat while it blows over. When everything crashes, pick up the lowest of the low dips, because crypto is still going to be around.

You don't seem to understand.
I could smelt metal and cast coins in my backyard, and sell them for $1, and buy them back from you for $1.
I could also have 15 people in my house trading homemade coins, but they don't accept fiat.
This is analogous to usdt.

Currencies ARE regulated. And what did this year's tax code say? Crypto is PROPERTY not CURRENCY.

The sooner you stop thinking of cryptocurrency as currency - which it isn't - the sooner you'll have a fundamental grasp of relevant laws and market influences.

And btw - even if it WERE currency (which it isn't) alternative currencies have been around forever. If your town wanted to start trading bottlecaps for purchases, the same ***property*** tax laws would apply to that as crypto, or even reselling something from a garage sale.

Doesn't matter that it ACTS like currency, I can ACT like a duck, I'm still a human. And crypto is property.

Tether is supposed to be 1:1 to USD holdings dude. We're nearing a billion Tethers being out tin the wild. It's a big fucking problem if there isn't a billion in the bank behind these things, and its a very high probability that there's nothing backing up garbage upon which all of the crypto market is hoisted a la the mythological Atlas.

A better analogy than yours would be if I, a company located on Sketchy Island, gave you a certificate that entitled you to one US Dollar because I'm claiming that I have a Dollar in the bank for each one backing it up. Now I PRINT CERTIFICATES AT WILL and use them to pump up the value of a commodity that I also sell, thusly raising its value astronomically, and in a manner without precedent.

This doesn't end well. Period.

If bitcoin goes your shit coins will be completely gone.

Has someone sent this to the financial times / economist / wall st journal?

nice just printed 100k

in actuality these threads spamming all over biz are a hit job on btc.

they want to convince you tether isnt legitimate somehow so they create panic and kill btc.

and they are paid.

At first probably yes. but crypto will recover. but without scammy dinosaur coin to fuck this whole project up.

No, but you or someone absolutely should. Mark Cuban and Mike Novogratz are endorsing this stuff now. The higher it gets pumped up the greater the number of people ultimately destroyed.

It's going to be a huge story.

I don't think you understand how entwined bitcoin is and the services behind it and that's how fiat actually get's into this economy.

Listen clearly, if bitcoin is unrecoverable alts are gone for good.

Babbys first reserve ratio.. how cute

Fuck, this is serious...

Man Im out of btc. thank you so much for this OP

>bitcoin is the only viable gateway or base pairing despite ridiculous volatility
sounds like a weak point to me, when will the free market fix this?

You do understand Bitcoin was created in protest of fractional reserve banking, right? I know most of you are newfags, but surely you can take 5 minutes to read the wikipedia article and look at the whitepaper before sinking thousands of dollars into it?

Bitcoin is extremely stable compared to almost any other cryptocurrency.

litecoin and ether seem far more stable to me
does bitcoin have any scheme for stability similar to Maker DAO aside from a cabal of early adopters with big pockets and mouths?

At the end end of the day BitFinex is no better then the FED. Soon they will say Tether is backed up by nothing just like the US dollar is backed up by nothing.

Does it really matter anymore? Al you need is trust.

if anything bitcoin is becoming more volatile and coming out of a low volatility period while the other cryptos are becoming much less volatile

Do as you please. Dont come back later buying at 10k though. This isnt the first we've heard it was all gonna collapse, and it wont be the last.

Prepare for the opportunity of a lifetime

better shown from early ETH days

No no no, if you have the balls, put money were your mouth is and short it. Much respect if you do but the premium could be costly, even if the story tuns out to be true. A la "the big short".

Oh, I'm not arguing that tethers are a wonderful thing or that it's 100% safe or that there's nothing to be cautious about.
I *am* explaining that the two articles were written by people who think that property is currency, that many people share this incorrect belief, and that it leads to a fundamentally flawed outlook.
A house built on a shitty foundation might work as a house, but it's still fucked.
House = knowledge
Shitty foundation = thinking cryptocurrency is currency and not property.

...

More like they just need us to trust them while they rape our labor, hustle, and wealth from us in their scams after they pull the rug out.

>hey goy just give us your gold for this paper money! Everyone is using it!

>Mark Cuban and Mike Novogratz are endorsing this stuff now
The funny thing is they are both aware of BTC being a bubble, they even openly stated that. Their target is 10k$, I hope they get fucked.

FUCK THEY GOT MOON MAN
LOAD UP THE VAN BOYS WE'RE GOING TO HONG KONG

(OP)
I agree that tether is an obvious fraud and is being used to cause pumps, but it's delusional to think that $646mln is enough to create a $262bln bubble, even accounting for liquidity.

I believe ~30mln tether is created at a time, and that's not enough to pump Bitcoin alone. It's enough to cause FOMO which can cause real money to enter the market. That's the good part about it. $30mln is like a week of volume.

It submitted before I finished my sentence, kek

Oh, good thing I use an exchange like gdax that uses usd vs. usdt

That's what I am saying. How is less than $1b causing all this drama? Maybe I am too much of a brainlet to understand.

you can trade in bitcoin and bitcoin derivatives used as bitcoin pricing instruments (don't tell me bitmex funding doesn't have an effect on the market) using bitcoin as collateral
the only other asset class with comparable volatility is equities and they're sure as fuck not allowed to use loans backed by their holdings to buy more holdings
it's like people say to a scantily clad sexual assault victim that they were asking for it, well bitcoin really is asking for it lads

Regarding the "open questions".

It doesn't matter if Tether is insolvent or not. You haven't been able to automatically convert tether to dollars since like March when they lost their banking. Nobody seemed to care. There was a temporary 7% crash before reversing entirely. People just ignored the fact that USDT isn't actually redeemable. It's become just like the real USD - only worth $1 because people agree to it, even if it can't actually be converted, just without government backing.

They have an email contact on their site and they *claim* that if you have over 50k in tether they can set up a way to wire it to you, but it's hard to track down anyone who has successfully done the exchange.

How much time is left is entirely speculative. It could never crash simply because people don't care and keep using it. Gox crashed after a legitimate hack combined with a fuck load of bad management and development choices. Tether can survive indefinitely if people just don't care, and that seems to be the case. No one is TRYING to withdraw USDT.

>Furthermore, follow the writer of the first piece on Twitter. He's doing a heroic job and is about to become famous.
Stop promoting yourself you fucking fag

You can't "redeem" your tether either

this

finally someone who understands what he is talking about

steemit.com/bitcoin/@cryptobrodog/usdt-the-biggest-scam-in-crypto-history

its crazy

Top kek. The Bcash shills that were retained are now Tether conspiracist

No group, in the history of mankind, has ever had the discilpline not to abuse a money printer. It always ends in a shitshow. Tether is a money printer for finex right now.

Lol

value is in the eyes of the beholder in economics

When you walk into a bank, do you actually imagine there's enough money in it to pay out the accounts of every single person who has an account there?

>implying it can go even lower