MicroStrategy buys BTC with abandon, Tether hits $20B, MassMutual jumps in game

Re:MicroStrategy buys BTC with abandon, Tether hits $20B, Ma... by gruez on Monday December 14, 2020 @01:40PM (#25421328)

>The Triad uses those USDT to buy BTC and other cryptos from other Bitfinex clients, attracted by the better price.

Is there evidence of this happening? I compared the prices for BTCUSD ("real" USD) vs BTCUSDT (tethers) across several exchanges and the average of the two are within pennies of each other. That said, you really don't need to offer better prices for this to work. All you'd need to do is skim a certain % of the sell volume for yourself, or trade your tethers directly for USD: https://trade.kraken.com/charts/KRAKEN:USDT-USD

>Bitcoin’s right-libertarian anarcho-capitalism fits right in with far-right extremism. Crypto analyst Tone Vays brags on Twitter about spending a night with the Proud Boys.

This seems a bit... inflammatory. A single instance of a "crypto analyst" being affiliated with the Proud Boys means the whole community/movement "fits right in with far-right extremism"?

[ Parent | on HN ]

Re:MicroStrategy buys BTC with abandon, Tether hits $20B, Ma... by panarky on Monday December 14, 2020 @04:11PM (#25423369)

Not only that, but if Tether's market cap is $20B and their trading volume is $30B to $70B per day, then they completely turn over their entire market cap more than 10 times per week.

To buy 10x your market cap per week, you also need to sell 10x your market cap per week.

It's not a one-way street, there's just as much selling as buying. Traders are well informed. Everyone has known the accusations for years, yet Tether maintains it's $1.00 peg.

Let's say for the sake of argument that Tether itself announces that they're only 50% collateralized. Do you think traders would suddenly stop using USDT?

[ Parent | on HN ]