About the USDT - page 3. | Bitcointalksearch.org

European Central Bank

legendary

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Quote from: Hueristic on April 17, 2017, 12:27:57 PM

WHY is BTC 1,233 in usdt on polo yet it's 1,085 USD on exchanges?

This doesn't look tethered to me.

it isn't. it's starting to slip a little. it's tied up with bitfinex's banking problems so right now i'd be staying well away from it until things are clearer.

Hueristic

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WHY is BTC 1,233 in usdt on polo yet it's 1,085 USD on exchanges?

This doesn't look tethered to me.

dihari

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USDT is just another form of money, it's like you do cash deposit on atm and your paper money change to some data. That's why it could be 1 USDT worth to 1 dollar. You just change your digital money with cash.
So I think it's not cryptocurrencies, it's same like deposit money on PayPal, but with this tether you need platform that support it.

BitcoinNational

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wrong thread.
https://bitcointalksearch.org/topic/tetherusdt-security-1820940

i thinks someones is pushing USDT??

prospector1

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well, at least they're "transparent" . . . I guess

CoinHoarder

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Quote from: prospector1 on March 19, 2017, 12:09:08 AM

Why is Tether issuing many more USDT than they have USD to cover?

tether.to/transparency

They probably simply haven't caught up with demand yet. There has been a lot bigger demand for Tether since around January when the Bitcoin price spiked. That is the risk with a centralized coin like this though.

I prefer decentralized versions like bitUSD, Steem Dollar, or Nubuts, but they don't have near the liquidity or price parity with the USD that Tether has. They unfortunately never gained enough popularity/liquidity to compete with Tether.

prospector1

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Why is Tether issuing many more USDT than they have USD to cover?

tether.to/transparency

shinratensei_

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Quote from: ulhaq on March 07, 2017, 08:58:38 PM

After some more research I do not find an offline wallet for tether. Was asked before here:

https://bitcointalksearch.org/topic/safest-way-to-store-usdt-tether-1518081

In addition to the risk of poloniex there is the company risk. Since USDT is an IOU that is guaranteed by reserves, which are physically held in Hong Kong, if they get robbed or the funds seized by the government, then you may not be able to exchange USDT for USD. As far as I can tell, they do not have any insurance, which to me is mandatory. Too many possible things could go wrong. I would probably rather hold funds as cryptocurrency and just use USDT for short-term trading.

It is up to you, but mostly person just uses tether to save his decimal from the volatility. but somehow I don't like to use tether for securing my decimal. There is no insurance in cryptocurrency. I hope you will understand about that.

ulhaq

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After some more research I do not find an offline wallet for tether. Was asked before here:

https://bitcointalksearch.org/topic/safest-way-to-store-usdt-tether-1518081

In addition to the risk of poloniex there is the company risk. Since USDT is an IOU that is guaranteed by reserves, which are physically held in Hong Kong, if they get robbed or the funds seized by the government, then you may not be able to exchange USDT for USD. As far as I can tell, they do not have any insurance, which to me is mandatory. Too many possible things could go wrong. I would probably rather hold funds as cryptocurrency and just use USDT for short-term trading.

ulhaq

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I don't think there is any relationship between Poloniex and tether. Poloniex is a US company, tether in hong kong. They have made the digital currency USDT, and it just happens to be tradable on poloniex. I imagine other exchanges will start accepting USDT at some point. My understanding is that there is a wallet that can be used to store tether, so it does not have to be on poloniex.

Can anyone explain in layman's terms what the omni layer protocol is and how tether works on it? Something about creating digital tokens on a platform built on top of the bitcoin network, but I don't know how it works and what drives the security of the system?

thejaytiesto

legendary

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Can someone tell me if you can hold USDT in a wallet outside of poloniex?

The biggest problem with USDT is obviously the fact that it is heavily centralized within poloniex.

If you try to sell a bit of BTC into USDT to buy back in, you are trusting that poloniex does not get "hacked"

Im not willing to trust poloniex or any exchange, specially in times where bitcoin is about to go interstellar.

Rockie1234

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Quote from: traderMax on March 01, 2017, 05:54:32 AM

USDT's price is consistently adjusted to be equal to 1 dollar. Users at poloniex.com use this instead of dollars.

How do they make the USDT equal to 1 dollar I wonder?
Are they also used in other places than poloniex.com? Are there other platforms we can trade USDT?

Since Poloniex runs Tether, it is not traded on any other exchange. They peg the price presumably by trading in the right quantities. The reason they made it was so users could save their cryptocurrency profits in a currency which was guaranteed to be stable. (Let's say you left your profits in litecoin and the price went down, you would lose money).

tyz

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Read this https://tether.to/faqs/
It explains how Tether work.

USDT is mostly used to go short for Bitcoin price. If Bitcoin price drops the equivalant Bitcoin value of USDT increases.

traderMax

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USDT's price is consistently adjusted to be equal to 1 dollar. Users at poloniex.com use this instead of dollars.

How do they make the USDT equal to 1 dollar I wonder?
Are they also used in other places than poloniex.com? Are there other platforms we can trade USDT?

Topic: About the USDT - page 3. (Read 4623 times)