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11263129 No.11263129 [Reply] [Original]

https://modernconsensus.com/cryptocurrencies/tether/noble-funding-cash-tether/

Does this spike the price of BTC?

>> No.11263364

We were sweating this shit all last year... reality is who gives a fuck... BTC shits the bed all the time for any provocation. I had 500,000 on January 4 and now I have 60,000 so fuck me sideways.

>> No.11263613

>>11263129
tether is king and even if it turned out it isn't why do you think all the exchanges are slowly introucing more and more stable coins? just to prevent any black swan type of crash if something actually goes wrong. Also with bakkt coming out I think the regulators would take out tether with velvet gloves if they were forced to

>> No.11263661

Tether crashing isn't an issue. It would literally make everything more valuable. But think about what happens if Tether API spits out wrong values and pumps instead of crashes. For example: Tether = 2 USD. Now all USDT pegged currencies suddenly drop by almost 50% just because of a unstable peg. Bots will arbitrage all currency pairs down to that price. And it will be the fast flash crash we've ever seen.

Now imagine 1 Tether = 20 USD through API error. It means 1 BTC is now worth 1/20 of USDT intead 1:1 on peg against USD. This event may play out over a few minutes and crash us below 300$/BTC due to a simply parsing error. It happened before when Tether jumped to 1.08 USD and fucked CMC and all kind of bots on exchanges.