What is the situation of an exchange holding tethers if the…
What is the situation of an exchange holding tethers if the world realizes they are not backed by money? What happens to coinbase? And does anything different happen to FloatSV?
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Probably nothing would happen. Maybe when the government starts arrests, some fluctuations would occur, but there would still be buyers.
The way I see it
Headline: Tethers are not backed!
Everyone rushes to sell their tethers. Exchanges stop trading so they can liquidate first at maybe 80 cents on the dollar. Consumers get rekt. No telling how exchanges will act with other funds in custody.
Those headline existed before and nothing big happened, only small fluctuations.
It was never proven that Tethers aren't backed because they never allowed a proper audit. This is the heart of the NYAG investigation and the truth will come out. If it comes out officially that they printed tethers without backing, it's a different story!
Yes probably a good idea to hedge into other stable coins. I had the problem that I couldn't get a good price for exchanging TUSD for USDT on floatsv when price dumped to perfect buy level. So I still hold USDT for trading.
I know, it seems it's the only option if you want to trade... I'm just getting really fidgety about holding tethers. Or even having my coins on an exchange that holds tethers. I think I may just stop trading soon and put the rest of my BSV in cold storage.
I’m going to play crazy crypto activist for a minute. I know the world runs on fiat now but I’m looking forward to depending less on fiat with projects like Twetch. We need more services and products that only accept crypto! 💪🏼 #Cryptoisforthepeople
And with projects like $EXRN for crosschain, stable coins and exchanges will be irrelevant 😎