/biz/ - Business & Finance

>>52740411
the only informed post in this thread. this is what happens when people learn about technology from marketing fags and YouTube influencers instead of textbooks and hands-on experimentation.
P.S. if ICP was _actually_ decentralized, it would look a lot like the deep web, with all manner of unsavory content and users. but it’s not, so it doesn’t.

>>6555138
>>6555363
>>6555777
>>6556716
Here's how it works. Tether is pinned to a dollar in value and allows traders to escape crypto into something "stable." Every time someone sells BTC/ETH/etc to Tether, one Tether is created. So if you sell $10k worth of BTC to Tether, $10k of Tether is created out of thin air to hold your position.

UNFORTUNATELY... whenever a trader sells their Tether to re-enter a crypto position, that Tether isn't burned. It just goes on existing like a zombie token of sorts.

So there's our Ponzi problem. Theoretically Bitfinex holds one dollar for every Tether issued. In reality, they only HELD a dollar per Tether issued until it got converted back to crypto. Yes, when an audit is finally ordered it will be the crash that brings this all down.