Some of you are okay, don't be in Tether tomorrow

[Anonymous No.10971157]

The fraud is rather straight forward. They print USDT out of thin air, which is then deposited to a Bitfinex treasury account. The initial transaction (usually 100 or 200 million USDT blocks) are then dispersed to other exchanges.

A concerted buy effort begins to purchase BTC with USDT on several exchanges. Once 100 million USDT hits the order books, the price goes up. BTC usually jumps 3-4% within the hour, and keeps climbing higher in some cases. Multiple research reports have been written on this, showing the strong statistical relationship between BTC pumps and new Tethers being printed. If you wish to see the USDT treasury, follow it here: https://omniexplorer.info/address/1NTMakcgVwQpMdGxRQnFKyb3G1FAJysSfz/1

Once BTC prices jump, it is sold for real USD on fiat exchanges such as Coinbase and Kraken. This would yield profits anywhere from $5-10 Million USD, depending on the amount of fake Tethers they issue AND assuming they trade on a 1 to 1 basis. If I was them, I'd purchase derivatives swap contracts for maximum leverage, in order to profit more (although I can only speculate on this). That way they get a piece of both the upside, and downside.

Once the real fiat money is in their account, I assume they use it to prop up their "balance sheets", in which they claim there is a 1:1 ratio of USD and USDT. In the meantime, they've made millions. It's why they refuse, and never will release an audit.

A realistic guess is that roughly 30% of the crypto market is made up of honest traders/investors. The rest is spoofing and wash trades. USDT will eventually collapse, due to regulatory intervention.

[Anonymous No.10971931]

yup

[Anonymous No.10971953]

>>10971157

Blood bath activated in few hours, mark my word

[Anonymous No.10971954]

good insight, nice post op

[Anonymous No.10972143]

Come to think of it, BTC didn't start trending upward after Mt. Gox until tether had come into existence.

[Anonymous No.10972211]

>>10971157
so are they going to jail or not

[Anonymous No.10972257]

Op is right, but I just want to add that this is why the smart money is more interested in opening crypto exchanges than “investing” in crypto. The people running the exchanges are the people making the real money and have the real power. They are systemstically leeching as much money out of gullable suckers as possible. One day it will all collapse but by then they will be (and some already are) fabulously wealthy

[Anonymous No.10972296]

Centralised exchanges have been the WORST aspect of crypto. We need some fucking genius programmer to create a proper decentralised exchange with heaps of liquidity or everything is FUCKED.

This is the sought of job someone like Tim Draper should be promoting within his network of minions!! WE NEED IT NOW

[Anonymous No.10972327]

>>10972257
yeah i pointed this some time ago. Exchange owners and miners are making big bucks, everyone else is the sucker in the long run

[Anonymous No.10972376]

good thread

[Anonymous No.10972383]

>>10972327
Nobody cares about fiat tho

[Anonymous No.10972391]

>>10972296
It's coming. You'll hear news of it in late september and it will launch later in fall. The dex will be a backend to a wallet manager that includes full hardware wallet support, and the dex will run on ethereum's first trustless rich featured massively scaling 2nd layer, that launches in late september.

[Anonymous No.10972403]

>>10972296
there's plenty of working decentralized exchanges with decent UX. problem is you can't washtrade your liquidity to snowball levels, and 99.99% of traders are greedy retards who act against their longterm interests

[Anonymous No.10972404]

>>10972383
in your small bubble world perhaps, in the real world nobody cares about crypto, they want that cash