Re:U.S. Regulators to Subpoena Crypto Exchange Bitfinex, Tether
by Nursie on Wednesday January 31, 2018 @03:12AM
(#16272316)
1. If there are no USD backing, why would its value stick to $1?
2. Correct, the claims are a problem. They claim backing and audits and these may constitute fraud
3. If they just print them out of nowhere they are basically printing hundreds of millions of dollars for themselves. If they aren't backed, do you think they could hold value in these circumstances?
4. These magic unbacked tokens are probably a large part of BTC price rises in recent months, and look like extra demand in the marketplace, massively distorting the BTC and altcoin markets.
2. Correct, the claims are a problem. They claim backing and audits and these may constitute fraud
3. If they just print them out of nowhere they are basically printing hundreds of millions of dollars for themselves. If they aren't backed, do you think they could hold value in these circumstances?
4. These magic unbacked tokens are probably a large part of BTC price rises in recent months, and look like extra demand in the marketplace, massively distorting the BTC and altcoin markets.