/biz/ - Business & Finance

You meme money holders realize that this entire crypto market has been inflated on the fraction reserve system of Tether, right?

There isn't 200 billion within crypto, if we're lucky there is maybe $1-2 billion in real cash invested across all the exchanges. The rest has been bid-ask spread upticking with bots driven by the billions printed in fake Tether. Why do you think Bitfinex always leads the spread as market makers and other exchanges serve as price takers?

Tether is a derivitative of the US dollar, except unlike a normal derivative in a regulated market there is no trusted third party to audit that the actual reserve for the derivative exists. You simply have to trust Bitfinex, whose past actions and current legal structure indicate every reason not to trust them.

Crypto started off well and was at one time a real hope of taking down the current federal reserve system, but it is not that anymore. Greed and promise of quick gains in dollar terms turned it into something worse than the very thing it was meant to replace.