/biz/ - Business & Finance

>>52307809
likely something about leverage..

>>52307809
>tether fud again

>>52307809
i don't feel so good tetherbros...

>>52307809

Shorting a stable coin is the safest bet ever. How and where can I short tether??

i wouldn't be surprised if tether's in a big hole.
their only recourse right now is to buy enough t-bills to become a problem for the us govt if and when it was to collapse. which is what they've been doing.

>>52307809
Oh shit......

>>52307914
try FTX

They always do this and get BTFO

>>52307809
>>52307949
They cant be btfo... Theres no chance for USDT going over 1 usd, but plenty ways it can go below

>>52307941
kek

>>52307965
Tether scamwicked above $1 plenty of times and brutally raped these retards thinking the exact same thing

Obviously Sam is forced selling his usdt stack. He minted like 45%.

>over the next 12 months
>mar 16
8 months already.

>>52307809
>This FTX guy wants to develop his own stable coin to print his own money, just like Tether
>gets suddenly bankrupted by another scammer

>>52308017
except his net worth is less than $1B now so he can have at most 1.5% of tether

lets post an old article on an irrelevant small hedge fund to try and bank run more shit so that i can make lots of money on my short position

>>52308074
They've probably paid over a ten million in fees while waiting. It's a $4B fund and articles only say the short is "sizeable".

>>52307985
just set your liquidation price $2 or something

>>52307809
>tether fud

holy fuck it's late 2019 all over again lmfao they are accumulating.

>>52307809
where do you even short tether and expect that place to be able to pay you out after tether collapses
that doesnt make sense, if tether goes almost everything goes down with it so you will not be able to redeem your winnings anyways
but have fun paying whatever premiums are charged along the way

Like I said, they're going to get fucked.

Considering that a third of all Tethers printed are in SBF scam empire I guess shit is about to hit the fan.

tether can't collapse because it is impossible to redeem USDT for USD
the only one who ever supposedly has is SBF and he is a proven fraud lying kike

>>52308843
That's what smart contracts are for and is how most people shorted UST

>>52308843
Step 1: take a loan nominated in USDT
Step 2: sell or convert that USDT to something else
Step 3: wait for tether to crash
Step 4: buy cheap USDT to pay off your loan
How is this so hard to understand?

>>52309024
to get the loan you would need to have some crypto as collateral for the loan which is going to crash hard
so congrats you created a terrible hedge
or you need to do the cefi paper loan scam which is blown up recently and requires you to be seriously connected so no dice for us

>>52307857
It tends to mark the beginning and end of a cycle. Tether fud on /biz/ not completely unreliable.Many such cases.

>>52309323
Why would USDC for example collapse if USDT does? I think USDC would more likely break its peg upwards because people would flee to it and mass buy.

>>52309489
why: contagion exactly like the luna collapse and ongoing shit
a tether collapse would render many entities with loans and other liabilities insolvent, this leads to them scrambling to sell all remaining assets with a shred of liquidity, usdc being a big one, then even it goes down as they are swamped in redemption requests
sure you might be able to get out in time but you are playing a really dangerous game against the clock there

>>52309557
USDC peg didn't do anything in the LUNA crash. Even if USDC gets sold, it's openly 1:1 backed by USD and can be redeemed for it (unlike USDT). There will always be buyers to keep the peg. Also picrel is an interesting post I screencapped a year ago.

>>52309766
its thinking like that, that gets you rekt
even the most honest system which usdc is not will go under in a massive bankrun
even if they have the funds 1:1 they will not be able to redeem fast enough
especially if they put their money into treasuries which got fucked this year and only hold their value if held to maturation

>>52307809
The only reason they're announcing it, is because they can't collapse Tether under a year. FTX collapses under a day after CZ's tweet. An article or something should be enough if something is truly fucked up with the system.

tl;dr:
2 more weeks bro, believe me.

>>52307809
Big if true... will Tether up to be safe

>>52307809
the best thing about shorting tether is that you can't get really liquidated cause the second it goes above 1.02 people will jump in with you. Not sure if funding fees would eat you alive though. Historically they are fine but I haven't checked during volatile times. Anyway, they probably know nothing but it's one of the few trades where longing is actually more dangerous.

"TWO MORE WEEKS UNTIL TETHER COLLAPSES" - BITFINEX'D

>>52310097
It's already happening in this very moment

>>52310222
>He thinks the bi-monthly Tether dip is an indicator
This is just unemployment gibs for bobos at this point. Shorting Stables is free money why didn't I think of it sooner, if they collapse even better.

Who redeems tether for fiat?

And they replaced their commercial paper with T-bills so they're bulletproof, plus they have CZ's backing

>>52310222
still within normal margins tho, once it drops below 98 cents its time to panic

>>52309557
If tether collapses, USDC, BTC, literally any other cryptoasset other than USDT are likely to go UP in value (remember value is near-universally denominated in USDT in crypto), not down. This is because people holding USDT will want to sell it for any other asset: other stables as well as tokens. Since price of cryptoassets are typically denoted in USDT, it looks like USDT increases in value. Of course, prices of assets denominated in USD will fall rust to exit the market fearing contagion, but remember there will be high demand for USDC in a tether bank-run. Longing USDC/USDT, BTC/USDT, ETH/USDT pairs is a good strategy, but you ultimately depend on the ability to convert your USDC into USD, which may not be possible after tether collapse.

>>52307809
they're seeding the narratives for the upcoming oracle bullrun

>>52310699
this was said in 2017 till this year, but all events since the luna collapse have proven the opposite
in a collapse people sell the good assets to the bottom because they are the only things that have liquidity and they will try everything before declaring fraudulent bankruptcy on their scam businesses
have you truly paid no attention to what is happening?

>>52307809

Lmao my gf used to do external audit for Fir Tree.

>>52311163
how have events proved anything against what I stated? tether hasn't collapsed

>>52309766
I always think about the situation in your pic. Everytime I think about what happens if Tether blows I end up with the conclusion that a lot of that money will have to flow into actual crypto when people start running for the exits, because who would buy it for actual USD. I'm not sure Tether collapsing wouldn't actually pump BTC. This clown show is so absurd that I wouldn't even be surprised at this point. Who knows

>>52311226
UH OH

>How to Short Tether on DeFi (Aave v2):

Shorting USDT is basically borrow USDT that you don’t own, with the collateral of other coins you own, then you anticipate the collapse of USDT so that you can buy it back later at significant lower cost and repay what you’ve borrowed and keep the rest as profit.

Here is the simple idea and step by step with Aave v2, but if you understand it you can do it on other platform such as Compound:
-Deposit your collateral coin, this could be ETH, USDC or anything else.
-Borrow as much USDT as possible
-Swap USDT into your collateral coin
-Deposit the swapped coin as collateral again
-Borrow more USDT
-Repeat as much as possible, but keep a buffer between liquidation and current debt-to-collateral ratio.

If you take a look at Defipulse.com there’s a few platform you can short (borrow) USDT

>Dapp for CDP management:

There’s some dapp that helps us manage our collateralized debt position, and the more popular one such as InstaDapp and DefiSaver. Through the use of proxy contract they offer us the feature of deposit collateral and borrow USDT in one single transaction. Which help us save on gas fee.

Both of them also offer simulation with 100 ETH balance, which let you play around with their feature before putting your money into it. I highly suggest trying out their simulation so you can avoid mistake when using actual money. In simulation you don’t have to sign any transaction with your wallet.

>Example of shorting USDT with InstaDapp simulation on Aave v2:
https://www.youtube.com/watch?v=EL7niWJYkEc

>>52309868
Why would it go under and in what way is it not honest? How does Circle correlate to Tether or USDT?
Circle has $10.1B in cash and $32.2B in U.S. treasuries with an average maturity of around 30 days. That's around a fourth of all USDC supply redeemable in time it takes for a bank transfer. Do you think they'd stop honoring the redeems and suicide in a time when a competitor is dying and they have a huge chance to solidify their #1 stablecoin spot? There's that risk but it keeps getting smaller every year SEC audits it and Lindy effect keeps accumulating.
>>52311469
IMO >>52311163 is right. General panic and covering USDT losses will cause markets to dump. There will be very little value flowing out of USDT because it's turning worthless, only at the very start it'll have an effect. The negative effects will far outweigh this small value flow and they will be lot more longer term. Only the worst bots and dumbest degens will contribute to exit liq. I bet many bots have lines of code in them that don't allow USDT reserves to go above a certain limit and more lines to instantly dump all USDT if it starts falling aggressively. It will be another race of who gets out fastest. If it ever happens...

>>52312677
the issue with this approach as raised is that in the event that your tether short is playing out the value of your collateral goes down to so you end up with a net nothing gain

>>52308534
So 2x leverage? That's too smart and too low for us degens

I myself only trade btc with 80x leverage

>>52313669
-You borrow 1 Tether with 1 USDC as collateral. (That means you need 1 Tether to unlock your collateral later, no matter what 1 Tether is worth at this time)
-You swap that 1 Tether you just borrowed to 1 USDC.
-If Tether drops to 0.5 USDC you can buy 1 Tether for 0.5 USDC and unlock your 1 USDC collateral, what means you end up with 1.5 USDC.

Did I miss something?

>>52313244
Granted, but by what mechanism would 90b worth of USDT actually be converted into USD? How would it actually "exit crypto" at scale as the game of musical chairs stops? I see what you're saying of course, but wouldn't exchanges with USDT on their balance sheets be the first out the door? Who would actually be able to acquire USD for it? If I was holding USDT while it started to blow, my first instinct would be to either swap for BTC, ETH or USDC, and even then I'd probably hedge by going into all three. Even more so if I was an OG BTC or ETH whale with +6 figs in it. What am I missing?