/biz/ - Business & Finance

>>13480997

This is only the beginning.

All those Tether IOUs on Binance are going to get vaporized.

>>13480997
NYAG really giving it their all to kill this bull momentum. Not surprised in the least with their timing

This is actually Bullish for BTC. Tether will help Bitcoin’s value. We all know there is extremely low supply of BTC- and with Tether they essentially FED the crypto market with it. If Tether and all others BTFO BTC would be 30K by now.

Bitfinex's cold wallet

>>13481021
>This is actually Bullish for BTC

Yeah, I don't see how crashing down to $800 is really that bullish... You mean in the long term of like 5 years?

>>13480997
>backed by cash and """"""equivalents""""""

>>13481018
based.
They broke last momentum as well.
Salty ny traders/bankers...

>>13480997
>only 74%
If you believe random rumours then tether should be backed 0%, and now it is 74% backed? Everyone throwing around with shit numbers.

>in doubt for the accused as a lawyer would say

>>13481049
I wonder how much of that 74% is backed by """""equivalents"""""

>>13480997
Hey dumb dumbs the NY AG is a jew hitman. Unfortunately for them this plan will backfire. The logic is that if Tether goes away as it is dying people will market dump their Tether for BTC. Because there is a finite amount of BTC this will cause BTC to pump. Enjoy

>>13481021
>This is good for bitcoin.

>>13481049
(((((equivalents)))))

Wow 74% is a lot I thought they had 0 lol

>>13481059
100% backed by TrueUSD

>>13480997
Please don't worry about Tether, fellow cypherpunks. The Lightning Network will fix this.

>>13481068
Many held tether at various times to reduce exposure to risk. Tether will be abandoned for other stablecoins or fiat. Smart money got out of tether when this shit first hit the news, r-right?

>>13481111
smart money never got into it

>>13481049

(((equivalents)))


Lmao, Bitcoin is going back to its natural value of $700.

>>13481111

>Crypto

>Smart money

Bitfinex IS the smart money in crypto. Defrauding NEETs for billions of dollars with no legal consequences is as smart as it gets. Decentralization is for THEIR protection, not yours brainlets, ayyy lamo.

this is bullish

That's purposely obfuscated wording, 74% is backed by cash, the rest is backed by equivalents.

>>13481032
Ulala...

>>13481272
You’re right! Brb buying 100k usdt

So 1 USDT = 0.74 USD

>>13481272
illiquid equivalents. Worthless Tether shares.

what a coincidence the publication from the jewish media.

>>13480997
Didn't u orchestrated FUD before this say 60%?

You guys couldn't get it to dump at 60% backed by Tether what makes u think its gonna dump at 74%?

even Brock Pierce used to have Tether CEO on his twitter and now its n hasnt tweeted for a while
the bad part of this whole drama havent really started yet

>>13480997
its literally nothing

>>13481370

qeq

Us Bobo's are in for a real treat these next few months.

US Banks are backed by only 30% of cash they claim to have and you think that is okay?

>>13480997
74% is much better than any bank that deals with actual fiat, those are closer to 10%, pretty ironic kek

>>13481561
this money is insured. in the event of a bank run the central banks would (in theory) provide the necessary liquidity. the tether white paper states that YOU ARE NOT GUARANTEED REDEMPTION OF DOLLARS FOR USDT. its a fucking scam.

>>13481594
until they change the rules because they can like they did in Greece where people could only withdraw max 100 Euros per day or 300 per week.

>>13481021
>>13481561
>>13481589
love all these fractional reserve arguments appearing overnight lmao

>>13480997
74% backed is better than the shitty US fractional reserve banking system which is around 10% backed.

>>13481671
>Muh fractional bank
why are you defending tether?

>>13481420
So 1 BTC = 3,922 USD

>>13481104
Thanks Adam

>>13481617
They're valid arguments. If you're calling Bitfinex insolvent when they have a hold of 74% of the funds, and the rest are technically also there, then you by your logic every bank in the world is fucking insolvent.

SELL SEL LSELL SELSELSLADLSE
SLEL
SELSLE

LSELL
SELLLLLLLLLLL

>>13481612
And that was before the haircut. Now with negative interest rates!

>>13481702
banks are not claiming to be 100% backed. they are also not the ones printing the money

tether claims to be 100% backed, are the ones printing the money, offer no insurance, and now claim to not even have the total amount to back usdt 1:1. what happens when people panic and try and withdraw? spoiler alert: the scam collapses

>hold exactly 0 Tether

Comfy AF in my neck of the woods

>>13480997
banks in developed economies only have ~5% assets in reserve at any given time, doesn't mean shit

>>13481068
You're proof this is the dumbest board. How will they dump tether for BTC if nobody wants tether? A buyer needs a seller

but it looks like it was backed 100% just before that loan. So they have not been printing fake tether after all

>>13481723
The fiat scam also collapses in such a scenario. Tether is fiat after all, sure it's not controlled by a (((bank))), so people judge it much more harshly. Besides, isn't it due to issues with banks that Tether currently doesn't have access to 26% of their funds?

>>13481750
tether is not fiat. tether is a token that people wrongly assume is redeemable for 1:1 USD (the white paper states this isnt the case)

banks hold money that is insured by central banks that print money which is insured by the government.

tether prints tokens that are not guaranteed redeemable and are not fully backed

>Besides, isn't it due to issues with banks that Tether currently doesn't have access to 26% of their funds?

it doesnt matter what the reason is. the fact is that the money is not all there.

>>13481702
just because you compare it to fractional reserve banking doesnt mean it IS fractional reserve banking.

in frctional banking theres expansion on both sides of the book. theres a guarantee that the money will be insured by the government. They cant keep this game up without pure expansion, that only lasts so long

in this case it was stolen even worse, cant imagine how someone can hide a billion dollars. this has evidence of foreign government involvement

>>13481750

Tether is not fiat you moron.

No government enforces the redemption value of this shitcoin.

It's literally a digital IOU shitcoin, with ALLEGED reserves held by some flakey banks in Panama which claim their money has been seized by other banks and governments, and now it's also secured by a Line of Credit which Bitfinex issued TO THEMSELVES, from the ALLEGED reserves that were held in trust by Tether, who are in fact one and the same entity.

AYYY LMAOOO

>>13481785
Banks are making tether look bad by jewing them out of the funds which they hold.
>it doesn't matter what the reason is
okay bud

If you think this isn't bullish for bitcoin you're autistic. I should disclose that I don't hold, never held and don't plan on holding tether because it's the same garbage as fiat. Never the less at least it's comforting to know it's backed by a large margin.

>>13481750
>fiat scam
>buys food in fiat
not going to make it

>>13481682
>why are you defending tether?

because its infinitely better than (((the dollar)))

>>13481805
>>13481817
Sure, money will always be issued by the government, but if they have to print an assload of money to fulfill that promise, the money will be worthless. Look at Venezuela, enjoy buying a roll of toilet paper for a wheelbarrow's worth of money.

Just because everyone is in on a massive ponzi scheme doesn't make it right, anon. Eventually it'll collapse and we'll move on from fiat.

>>13481824
than why is it valued at a dollar mongoloid

>>13481594
That is actually not true ur fiat deposit in bank is quaranteed by gubbermint up to 100k... Rest can just be taken away if bank goes to shit, as it happened in cypruss... So yeah, finex dun goofed, 26% of their shit is locked somewhere, but don't act as if everyone didn't think they have even less backing

imagine a pie
now take out 25%
analogy over.

it was stolen that doesnt make it fractional lending. the pie is missing

hahahahahahahahahahahaahaha

https://ambcrypto.com/bitfinex-tether-hits-back-at-ny-ag-says-martin-act-action-will-not-hold-as-usdt-falls-outside-statutes-reach/

mark my words, this is going to get ugly FAST

>>13480997
Bitfinex and Tether is a fraud
https://streamable.com/l5sup

Remember that you may NOT own Tether if you are a US person. If it becomes worthless over night you may NOT demand any money because you shouldn't hold any tether.
https://tether.to/legal/

Huge red flag that no exchange respect Tether's own ToS and prevent american accounts from having Tether.

Also BSV will win, btw.

>>13481884
Seems like they make a pretty good point actually.

>>13481923
its bad

https://iapps.courts.state.ny.us/nyscef/ViewDocument?docIndex=JcKQms/tM52ywY78HUsInw==

start reading from page 12

>>13481947
page 12 of 30

also the same as page - 6- they have it labeled weird

>>13481976
Wow a literally nothing burger

The absolute state of Jew York

>>13482009
you havent even seen the best part yet

74% cash + equivilents, who cares.

>>13480997

Everyone whos saying this is a bad thing or hit job by jews is a fucking idiot. In the long term, this is going to make people rightfully question having centralized entities as stewards of their money--- as crypto was always meant to do. It will show the importance of DEXs and always being in charge of your funds so this inevitable exchange misbehavior nonsense can end. Entities like bitfinex and mtgox have always been the real impediments to crypto getting widespread acceptance and high valuation because they are unregulated and can NEVER keep their hands out of the honey pot. Once these are gone, crypto can begin having uninterrupted bull runs and more mild bear markets.

To put things in perspective:
Tether is literally Chuck e. Cheeze arcade token coins so you can play in the bitfinex ball pit. So is the rest of crypto--- but what makes tether worse is that at least with crypto you know its a speculative gamble and that its value is tied either to the coins utility or irrational market forces that can drive it far up or down overnight. People actually believe Tether is a 1:1 guarantee of USD ownership. The whole word believes he USD is valuable and accepts it as a USD--- only the crypto world believes tether is worth 1usd. The purpose has always been so the adults at bitfinex can hold the USD which is accepted everywhere else in the world while the crypto traders in the childrens play pen can hold the monopoly money which they think they can cash out. Good riddance--- the sooner its gone the better off the market is

>>13481947
>>13481954
Oke so if I'm reading this right. Crypto capital has issues and its affecting Finex's solvency and ability to handle withdrawels. A significant sum of $675 mln. that would be roughly 32% of total reserves (2,1bln reserves). And about 45% of the liquid reserves. Aside the fact that that is in of its self worrying. I think it's being blown out of proportion. Everyone wants Tether to fail and fuck off because there's so much trust issues people have with it.

>>13482069
Not just the hate against Tether. But they still have 55% of liquid cash reserves right? Tether is dodgy in and of itself because there's no security when actual insolvency happens. No insurance. Its either Finex does it right and it keeps going or they fuck up and its all gone. But the people dealing with Tether they know this already. So its no suprise. If Tether collapses then I don't see what the fuck everyone's suprised about.

Blown out of proportion. Made worse than it appears. Don't want to worry? Don't deal with Tether.. simple as that. But it does actually show that their cash reserves have been there. And perhaps for the longest time and there isn't any breach of trust from Finex's side. It's actually not their fault. And the whole Tether artificially propping up the market is likely not even remotely true.

>>13481213
Normie meme checked
"Lmao" checked

First time on 4chan faggot?

>>13480997
Can someone please explain to me how the Attorney General of New York state has any jurisdiction over an exchange based in fucking China?!?!?!?!?

So people hear that exchange had been scamming them and the answer from some folks is.
>It's ok if the exchanges scam people because that's what the banks are doing.
>Just forget it and continue as if nothing happened. Whatever
Are you fucking insane?

We have now seen that tether should be at $0.74 at best meaning BTC measured in it would be around $3800.
And who knows what the fuck "equivalents" really consists of.
Also if these guys turn out to be anyhow insolvent or at least having trouble with money as their chat logs hint, pic related.
We're potentially looking at another Mt.Gox type collapse and it's going to fuck everyone over and again chip away at the legitimacy of this market.
It's not just a "lol whatever, ur just a bear" situation. It's a potential shitstorm.
Of course shaking out the sketchy exchanges is good when you look at the very long term picture, but this can seriously harm the market for a good while to come.

A simple solution would be to allow Finex banking access to protect clients and investors. But I don't see the NY AG proposing that now do they? I don't really like the style of Finex with all these shell corporations and likely illicit practices. But I kind of side with them on this matter. They are respectively right even if they're wrong.

Much easier again, would be for them to get banking access and being audited to within the laws and regulations so that investor and market worries can be eased and the law can properly audit and track to see if everything happens within legal boundaries. But I really wonder what ulterior motives are at play in this case (both sides).

>>13482164
Don't be dramatic. The totality of tether in BTC's value (tether market cap divided by Btc market cap) is only about 3%. This is nothing burger. I predict that Btc will make it up for cleansing the filth from the market in the day after initial panic.

>>13481021
kek, btc will have real price discovery now. Have fun when it's trading back in the $500 range

>>13482044
Like they have any jurisdiction lmao

I hope they blow it off

>>13481723
>Banks are not the ones printing the money

The absolute state of /biz/

>>13481723
They have more than enough cash to cover tether to anyone who even has it idiot

>>13481741
BFX will buy back tether on the cheap. Roll into a ieo for their exchange token, then redistribute fresh tether to start the golden bull.

>>13482164
You are a literal retarded faggot. USDT/USD is trading a .99 on Kraken and 1.05 on Poloniex. Yes, that's right, after all this fear mongering Tether is trading at a 5% PREMIUM to its pegged asset. No one cares about your gay ass opinion of what something is worth, all that matters is the market, and the market does not give a fuck about this FUD. You can prognosticate that in the future, the value of Tether will be X or Y, but for a faggot retard like you to claim that your opinion of the current price is the correct one, and a market that trades hundreds of millions of dollars is wrong, shows just how much of a fucking retard you are. Do the world a favor and buy some rope.

>>13482263
I wonder what role recent events, ie the kidnapping of huawei ceo's daughter by canada in the interests of USA and trade war, will play in HK willingness to acquiesce to these demands. After all this is a mole hill compared to the toxic debt USA unleashed on the world.

the plot thickens

u mean 7.4%

>>13482853
>“Reginald Fowler and Ravid Yosef allegedly ran a shadow bank that processed hundreds of millions of dollars of unregulated transactions on behalf of numerous cryptocurrency exchanges,”


m-m-m-m-moster kill

If 74% is true, that's way more than enough. Several large exchanges hold tether and thus back it through trust. It's more than any retail bank holds in reserves.

>>13482161
The USA owns the world nigga

>>13482853
oh shit

(((they))) are Fudding like crazy but market sentiment is clearly changing.
All this fud and we held 5k like Champs. All my crypto. Mainstream sources are spouting fud.
We are already on the bullrun. Strap in boys

Why isn't tether $0.74? wtf

>>13482853
>b-b-but not muh US jurisdiction
based

>>13481018

Meanwhile JP Morgan openly manipulates various markets and nobody gives them shit for it

>>13482941
this

USA runs the show

>>13482951
>we held 5k like champs

who is "we"

you realize that nobody is buying, right? the whales are keeping the price propped up so that they can dump their bags on the few retards that are dumb enough to fomo into this shit. this is nothing new. look up a wyckoff upthrust, its been happening in markets forever, except in crypto we can literally see that they did an algorithmically managed buy equally across the 3 exchanges that would liquidate shorts on futures platforms.

if you arent selling this (or even worse buying it) then you are just a fucking retard beyond help

>>13482853

IT BEGINS

>>13482986
>thinks its still a bear market
>believes in tether fud
haha you done goofin bear.

>>13481561

>30%

Ha, no. It's FAR worse than that. They only need like a 10% reserve.
>Bob and Alice are clients of Bank
>Bob stores 100 USD in Bank
>Bank loans Alice 90 USD
>Alice stores 90 USD in Bank
>Bank sells derivative on the expected returns of Alice's loan
>Bob borrows money from Bank to "invest" in the derivative
>Bank receives Bob's money and loans it out to someone else while also creating a new derivative over the debt

Basically there's maybe 1 actual dollar for every million dollars on the books and that's a very conservative estimate. Do you see why Usury used to be punishable by death?

>>13481594

Do you even Central Bank? Alan Greenspan himself said that the "Federal" Reserve can guarantee cash of any quantity they like, but they cannot guarantee its purchasing power.

In other words, money printing. If 1 dollar is worth 2 apples and I print a trillion dollars after, 1 dollar isn't going to buy you a single seed.

>>13482853
"Ravid Yosef, said to live in Tel Aviv, Israel, were part of a scheme that involved using bank accounts to move money into a series of unnamed cryptocurrency exchanges"
you faggots will always get kiked

DAAAAAMMNMNNNNNNNNNNNNNNNNNNN
https://www.justice.gov/usao-sdny/pr/arizona-man-and-israeli-woman-charged-connection-providing-shadow-banking-services

GET OUT OF CRYPTO NOW

>>13483105
>>13483116
So Bitfinex is actually the victim in this case?

https://twitter.com/maxkeiser/status/1123312611636973569

>>13483126
lol no. they are clearly complicit

>>13483116
bullish

>>13480997
Backed by 3/4 of total... That's orders of multitude more than fractional reserve banks, I'm actually impressed

>>13483212
Yeah.. except Tether is not a fucking bank.

>>13481021
cope

>>13483212
you retards keep moving the goal post

>tether is back 100%

>tether admits they are not backed

>w-w-well what about fractional reserve banking!!!

you fucking idiots are really drinking the kool-aid

>>13483038

That was a different time. It wasn't as big yet. Not so many thriving businesses as now. This time is unironically different. It is in everybody's interest to bail Finex out. I'm sure Blockstream will soon announce the measures and actions to be taken by the cryptocommunity. And in a few months we'll all be laughing about this

>>13483262
you retards keep moving the goal post

>tether is backed 0%

>tether shows they are backed by 74% after having 26% of their money unfairly seized and frozen

>w-w-well its not 100% backed!!!

you fucking idiots are really drinking the kool-aid

>>13480997
test

Fuck tether and bitfinex, but fuck more the ny kikes and niggers along with jannies
>>13480997
This is like 7x reserves what traditional banks have at the worst case
>>13482430
\thread
They have done the same thing at least twice, they might even help fuel the FUD and keep trying to bring the price lower to buy Tether at bigger discounts
Look at the BFX token timeline
>>13481730
This, and unlike banks Tether doesn't really refund their tokens in USD to common folk, they don't even guarantee redeeming them
They are way more liquid than any retail bank out there
>>13483217
Yeah, it isn't, they don't even promise to redeem the tokens, banks promise to redeem your money
They are infinitely more liquid than any bank out there, and working with 74% reserves it's way more than enough
>>13483710
b&r

This is bullish for Bitcoin.
Tether is centralised.
Bitcoin is not.
If people had no interest in crypto they would simply cash out.
The ones involved in tether are interested in rebuying Bitcoin.

>>13481082
THIS

>>13480997
That’s good for Bitcoin. Everyone will sell their (((Tether))) for btc

>>13484337
retard, why do you think there is a 330$ premium on bitfinex? if tether goes down price of btc/usdt will be 100k on bitfinex while normal btc/usd price will be 3k.
>>13484277
the fucking dumbasses at bitfinex gave customer and corporate money to a shady entity in panama without due diligence and without a contract. they wanted to escape the law and they got fucked by other law-abiding criminals. in the unregulated world, sharks eat eachother.

>>13481052
it it 74% backed which is a fuck of a lot more than your funds in your bank acct. was 100% backed but they did a 800 million cash loan to a payment processor to process withdrawals and that processor lost it somehow. bitfinex borrowed from the tether reserves and was repaying that 3 year loan @3% interest with profits from the exchange which was more than enough and reasonable given the circumstances. by hates crypto and used the occasion to attempt to destroy the market.

>>13484506
*NY hates crypto

>>13481021
You're a retard. Before Tether came along Bitcoin was at its natural price of around $500. Tether literally fucking made the entire 2017 bullrun. It was all fake and shit.

>>13484439
they were not escaping the law, their legit payment processor was told by clitbank to drop bitfinex. not the law dumbfuck, it was wall srteet trying to fuck crypto.

>>13484515
no retard - learn how tether works or go back to twatter

>>13484515
OMFG BEARFAGS ARE STILL BELIEVE THIS BITFINEX'D SHIT

They got some better story called the WillyBot

>>13484506
(((backed)))
(((equivalents)))

Okay, and the other 25 % is covered by a loan from tether to bitfinex, so technically tether is still solvent, the real issue comes from the breach of trust bitfinex and crypto capital have with holders; bitfinex did not tell holders about the lost funds, and we don't know how secure holdings are now that crypto capital was unable to give bitfinex it's funds. It's possible that governments really did confiscate the money, but right now it looks like crypto capital could have scammed bitfinex, which is really serious because most volume in the crypto market happens in tether and bitfinex is just one exchange that relies of crypto capital, and if crypto capital legitimately lost the money then these exchanges will have no way to process their bank accounts which means the market is fucked. You better hope the money is accounted for.

>>13483710
kek

TIME TO CRASH THIS MARKET

WITH NO SURVIVORS

>>13484555
can't address the situation or respond with arguments
>engage scare quotes

>>13484575
(((scarequotes)))

>>13484539
Tether doesn't work. Back to rebbit you fucking newcunt shill.

>>13481916
>Also BSV will win, btw.
That much is obvious, anon.

>>13484593
>muh joos

>>13484614
hi goldberg

What does "((()))" mean? Is this hidden code?

>>13484910
https://en.wikipedia.org/wiki/Triple_parentheses
it's the echo

Cleaning out the sludge. Goodbye, Tether.

>>13484637
Hi Ranjesh

>>13484515
Tether and Bitconnect*

>>13482321
Technically, they really don't. All they do is issue checks, which act as "money". Printing of fiat paper money lies with the treasury.

74% more than I expected

>>13484515
>Tether literally fucking made the entire 2017 bullrun
imagine being this fuckin retarded

>>13482164
one for the library, thank you

IM ALL IN ON FIAT RIGHT NOW, FUCK TETHER AND FUCK BINANCE ILL BUY BACK IN WHEN THOSE SCAMS ARE DEAD IN THE WATER ITS TOO DODGY RIGHT NOW

>>13486333
it's only $0.74 if everyone withdraws at the same time.
The catch is tether can't be converted to USD, so that won't happen. Also if everyone were to withdraw from the banks it'd be like $0.10 on the dollar.
But $1=$1 magically.

if bitcoin dips it has nothing, absolutely nothing to do with tether. saying this as someone who has never owned any amount of tether because I don't trust them.

>>13486401
>if bitcoin dips it has nothing, absolutely nothing to do with tether. saying this as someone who has never owned any amount of tether because I don't trust them.
HOLY FUCK REKTFINEX IS ALREADY DOING DAMAGE CONTROL
GET
THE
FUCK
OUT
OF
EVERYTHING
RIGHT
FUCKING
NOW

>>13486398
You won't be buying back in for a long time then, because there's no evidence that Binance is going anywhere.