the rose, While the price of Bitcoin in the last week, flushed Tether Unlimited short-hand for the stately sum of 300 million US dollars on the crypto-market. The old suspicions came up, were stoked. Tether (USDT) manipulated the Bitcoin price?
By Phillip Horch
15. April 2019BTC$5.173,13 1.43%Facebook Twitter LinkedIn xing mail
Tether is – at least in terms of market capitalization– the leading Stable Coin on the crypto market. As such, it should serve to help investors secure profits without the need for the Bitcoin Ecosystem to leave. As Each and every unit of a Stable Coin promises to correspond to an Asset in the “real” world. In the case of Tether (USDT) is the U.S. Dollar. At least in theory.
Tether not be covered at one hundred percent
it was Because, as recently, according to a company publication known, this with the 1-on-1 coverage. Rather, the law, acknowledged themselves to Tether Unlimited to your digital coins other Assets to cover, as long as they are theoretically “US Dollar value”.
Now, it is the case that the Tether within the last week, rise while the price of Bitcoin, a total of over 300 million US dollars has issued. To the fact that this is not necessarily deposited US dollars to be covered must be, and soon came again doubt as to the seriousness Tethers.
The sudden flooding of the market with new USDT, the presumption of individual crypto-user, made it possible to drive the Bitcoin price artificially high. Due to the sudden high level of liquidity, the fear that could drive both the volume of trade as also the supply and demand on the stock markets, artificially. So Bitfinex’ed tweeted on may 13. April:
Tether is once again injecting the cryptocurrency markets, with nearly $400M of fake money. They’ve recently admitted it’s not backed by dollars, but so-called ‘reserves’.
Last time they injected this much fake money, we found out about CFTC subpoenas and the market crashed. pic.twitter.com/tbjan3FVaa
— Bitfinex’ed (@Bitfinexed) April 13, 2019
Tether is injected in the crypto-market, once again, with 400 million US dollars in fake money. You have recently admitted that it [Tether] is not covered by the [U.S.]Dollar, but by the so-called “reserves”.
The last Time you have pumped a lot of counterfeit money in the market, we have found over CFTC [out], and the market collapsed.
In connection with the question of human entanglements trusted with the Bitcoin exchange Bitfinex seems to be this assumption not too far-fetched. The presumption, voices Tether leads its customers not only with false facts behind the light. Rather, they manipulated the Bitcoin price, and Bitcoin exchange users – especially on Bitfinex.
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