US Fed Official Calls Tether a ‘Challenge’ to Financial Stability

Re:US Fed Official Calls Tether a ‘Challenge’ to Financial S... by gruez on Saturday June 26, 2021 @03:04PM (#27644821)

> As with all classic Ponzi schemes it will collapse when some external event causes a bunch of people to demand convertibility at once, and they can't meet their overvalued rate.

But why is everyone keeping their USD in USDT? For ponzis it makes sense because you're promised a rate of return, but for USDT you're essentially losing money every day due to inflation.

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Re:US Fed Official Calls Tether a ‘Challenge’ to Financial S... by bobthepanda on Saturday June 26, 2021 @04:31PM (#27645557)

I mean, I don't think it's being used for this purpose, but something convertible to dollars is handy if the US specifically doesn't want you to trade in dollars. Although that then potentially makes Tether itself a target of the US government.

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Re:US Fed Official Calls Tether a ‘Challenge’ to Financial S... by ProjectArcturis on Saturday June 26, 2021 @09:05PM (#27647564)

You can loan out USDT for absurd interest rates.

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