Topic: Could Tether (USDT) be really called decentralized cryptocurrency? - page 3. (Read 834 times)
October 25, 2020, 10:00:47 AM
USDT prices could fall if bitcoin continues to rise and make usdt not stable enough different from the gold that is really good for investment and the price can remain stable usually prices could also rise significantly and tend to have stable better if it can be combined so USDT can be had a fixed value.
October 25, 2020, 05:45:17 AM
Tether (USDT) is a stable currency and of course it is not decentralized because the price is very stable, if it is decentralized it is certain that the price will fluctuate dramatically like bitcoin or other altcoins
October 25, 2020, 12:25:43 AM
The first sentence in the white paper of Tether (USDT) says the following. A digital token backed by fiat currency provides individuals and organizations with a
robust and decentralized method of exchanging value while using a familiar accounting unit.
Now don't get me wrong. I use USDT a lot, in fact I love it. The fixed price of $1 while being a cryptocurrency makes crypto transactions for purchasing services easy and beautiful.
But I keep thinking of how original paper money was created. In history we had gold for trading. Then gold became inconvenient so bankers offered to hold gold for paper that verifies how much gold is owed to customers. Then this paper became more convenient and was used instead of gold with the trust that its backed by gold. Then this paper a long time later became a currency that isn't backed by gold anymore.
Could the same happen with USDT. If everyone decided to claim original $$$ with their USDT, would Tether Limited issue it all making the price worthless?
Anyway the point I am trying to make is that Tether (USDT) is centralized around the Tether Limited's will to keep it going. This company is basically like a bank too.
robust and decentralized method of exchanging value while using a familiar accounting unit.
Now don't get me wrong. I use USDT a lot, in fact I love it. The fixed price of $1 while being a cryptocurrency makes crypto transactions for purchasing services easy and beautiful.
But I keep thinking of how original paper money was created. In history we had gold for trading. Then gold became inconvenient so bankers offered to hold gold for paper that verifies how much gold is owed to customers. Then this paper became more convenient and was used instead of gold with the trust that its backed by gold. Then this paper a long time later became a currency that isn't backed by gold anymore.
Could the same happen with USDT. If everyone decided to claim original $$$ with their USDT, would Tether Limited issue it all making the price worthless?
Anyway the point I am trying to make is that Tether (USDT) is centralized around the Tether Limited's will to keep it going. This company is basically like a bank too.
yes you're right, from the start tether doesn't seem decentralized. they just use blockchain as a plus, because basically their system is more centralized. FIAT-backed coins sound pretty convincing, but I doubt they really do it. and in the end it will probably be what you say. like paper that replaces gold.
October 24, 2020, 06:53:38 PM
Anyway the point I am trying to make is that Tether (USDT) is centralized around the Tether Limited's will to keep it going. This company is basically like a bank too.
Yes.Tether is centralized and will never become decentralized crypto. It seems like a bank but they are more than that, they seem to be the central bank that can print unlimited Tether if they want to.
And that injection is causing bitcoin to pump.
October 24, 2020, 05:56:35 PM
No person with even the most basic understanding of cryptocurrency would call Tether a decentralized cryptocurrency. Obviously, Tether the company is just being dishonest when they claim that the token is decentralized, they did that because "decentralized" was/is a very hyped thing. Of course they mean that it's decentralized because it exists on Ethereum network, so there's no middlemen when you move tokens, but the fact that the supply is created in a centralized way, the fact that the peg is maintained by a centralized company is enough to disqualify Tether from being decentralized.
They still have the full control to what they want for this token so it is not decentralized in any way.
No cryptocurrency that can be created at will is decentralized.
If you or anybody else could "make" a bitcoin and increase total supply to 21 million and 1 it wouldn't be a decentralized cryptocurrency anymore.
Tether can be made at any moment. They need a million - poof and there it is. What kind of decentralization is that?
If you or anybody else could "make" a bitcoin and increase total supply to 21 million and 1 it wouldn't be a decentralized cryptocurrency anymore.
Tether can be made at any moment. They need a million - poof and there it is. What kind of decentralization is that?
This is the reason why I really don't believe what they are trying to claim that they have all the assets according to their supply. When they admitted at one point that they didn't have the full backing of USD, where they are pegged at, I start to doubt the authenticity of their claims.
October 24, 2020, 05:34:47 PM
No cryptocurrency that can be created at will is decentralized.
If you or anybody else could "make" a bitcoin and increase total supply to 21 million and 1 it wouldn't be a decentralized cryptocurrency anymore.
Tether can be made at any moment. They need a million - poof and there it is. What kind of decentralization is that?
If you or anybody else could "make" a bitcoin and increase total supply to 21 million and 1 it wouldn't be a decentralized cryptocurrency anymore.
Tether can be made at any moment. They need a million - poof and there it is. What kind of decentralization is that?
October 24, 2020, 04:27:52 PM
Of course not, it's just USD issued on a blockchain by a company. Users need a cryptocurrency with a stable value in the face of major market fluctuations. But for now we don't have a better stablecoin option than Tether because of its popularity.
These USDT have nothing to do with the dollar. Tether couldn't think of anything better to use USD in the name of its token, thereby transferring the confidence of market participants in the Fiat dollar to it. It would be very different if they used a different token name.
October 24, 2020, 02:48:29 PM
Tether is not a decentralized coin, in fact it wasn't created to be a decentralized coin, and as to what it is being backed with, there have been many arguments to that, but nowadays many don't care because Tether has grown quite a lot, and for the fact that it keeps growing in volume makes a good number of people to trust it over other stablecoins. In my own opinion, the only good thing about Tether is the stable nature and nothing more, as for trust, it can hardly be trusted because it is centralized, meaning the team can also decide what they think is the best for everyone, even if it means freezing a wallet and so on, so do not be deceived by what they write in their whitepaper about decentralization, Tether is highly centralized, rather the only thing I can say they succeeded in doing is having a robust method of exchanging value, which is true because nowadays you can send Tether through Omini, ERC 20 and TRC 20; thus a user can decide the one he wants.
October 24, 2020, 01:43:13 PM
The first sentence in the white paper of Tether (USDT) says the following. A digital token backed by fiat currency provides individuals and organizations with a
robust and decentralized method of exchanging value while using a familiar accounting unit.
Now don't get me wrong. I use USDT a lot, in fact I love it. The fixed price of $1 while being a cryptocurrency makes crypto transactions for purchasing services easy and beautiful.
But I keep thinking of how original paper money was created. In history we had gold for trading. Then gold became inconvenient so bankers offered to hold gold for paper that verifies how much gold is owed to customers. Then this paper became more convenient and was used instead of gold with the trust that its backed by gold. Then this paper a long time later became a currency that isn't backed by gold anymore.
Could the same happen with USDT. If everyone decided to claim original $$$ with their USDT, would Tether Limited issue it all making the price worthless?
Anyway the point I am trying to make is that Tether (USDT) is centralized around the Tether Limited's will to keep it going. This company is basically like a bank too.
Obviously it is not decentralized, they may claim to be but that does not make it true, and what you are describing is precisely why bitcoin was created on the first place, once a centralized entity gains the upper hand it is simply too tempting to not abuse their power, after all what are their users going to do about it? So during the last years there have been accusations against USDT of not having a 1:1 ratio when it comes to the coins in circulation and the dollars stored on their vaults, so anyone that uses any of the stable coins in the market should remember that those coins are not meant to be held for the long term and are just a way to get out of the market if it is crashing and protect your capital that way, but once it is done then it is time to go back to the cryptocurrencies that you trust. robust and decentralized method of exchanging value while using a familiar accounting unit.
Now don't get me wrong. I use USDT a lot, in fact I love it. The fixed price of $1 while being a cryptocurrency makes crypto transactions for purchasing services easy and beautiful.
But I keep thinking of how original paper money was created. In history we had gold for trading. Then gold became inconvenient so bankers offered to hold gold for paper that verifies how much gold is owed to customers. Then this paper became more convenient and was used instead of gold with the trust that its backed by gold. Then this paper a long time later became a currency that isn't backed by gold anymore.
Could the same happen with USDT. If everyone decided to claim original $$$ with their USDT, would Tether Limited issue it all making the price worthless?
Anyway the point I am trying to make is that Tether (USDT) is centralized around the Tether Limited's will to keep it going. This company is basically like a bank too.
October 24, 2020, 08:18:51 AM
USDT itself is a Stablecoin that has a value of 1 US Dollar per Token, and keep in mind that USDT is still in position number 4 on Coinmarketcap, with a Market Cap of $ 4,686,709,510. then essentially USDT stood in several chains such as ERC20, TRC20 and Chain. so it aims as a Stable Cryptocurrency that can replace Fiat USD financial transactions.
Where are you getting your data from? USDT's marketcap is ~$16.25billion and It is not on the 4th spot either. (it is the 3rd)
Where did you copy paste this from?
October 24, 2020, 08:10:58 AM
USDT itself is a Stablecoin that has a value of 1 US Dollar per Token, and keep in mind that USDT is still in position number 4 on Coinmarketcap, with a Market Cap of $ 4,686,709,510. then essentially USDT stood in several chains such as ERC20, TRC20 and Chain. so it aims as a Stable Cryptocurrency that can replace Fiat USD financial transactions.
October 24, 2020, 06:46:21 AM
It could not happen with USDT.
Remember this when people have agreed to use or buy USDT and when they have exchanged their assets into the USDT form and they have agreed if it's the same like their funds were getting exchange site the fiat that has already owned by tether company to backed USDT.
People will never do any claim to the reserved funds that has owned by tether.
The concept looks so complicated but i believe if that will never happen with tether.
Remember this when people have agreed to use or buy USDT and when they have exchanged their assets into the USDT form and they have agreed if it's the same like their funds were getting exchange site the fiat that has already owned by tether company to backed USDT.
People will never do any claim to the reserved funds that has owned by tether.
The concept looks so complicated but i believe if that will never happen with tether.
October 24, 2020, 04:37:12 AM
Of course not, it's just USD issued on a blockchain by a company. Users need a cryptocurrency with a stable value in the face of major market fluctuations. But for now we don't have a better stablecoin option than Tether because of its popularity.
October 24, 2020, 03:51:04 AM
No man sorry but, the only true decentralized stable coin I know of is DAI. All other stable coins (that I know off) can freeze your tokens if they feel like you are doing something wrong but not in DAI. I doubt USDT can ever truly become decentralized.
DAI is really one of all the stablecoins on the market that is decentralized. And I do not understand why exchanges do not promote DAI in terms of creating trading pairs for this token. This is the reason for the low liquidity and total volume of transactions of this token in relation to USDT
October 24, 2020, 03:46:56 AM
Tether is a centralized currency and it is issued by the Tether company. It is only provided on different blockchains. Tether's value is stable as it is collateralized with dollars in the banking system.
A decentralized coin in the stablecoin system will be the DAI.
A decentralized coin in the stablecoin system will be the DAI.
October 24, 2020, 03:16:04 AM
Tether ( USDT ) and XRP ( Ripple ) are confirmed centralized crypto project, who told you that USDT is decentralized? That's a misleading information OP,
no one told him that usdt is decentralized but he said that he only read it on the whitepaper of the usdt . i think what the usdt team tryin to say is that its only decentralize when exchanging the coins or it has a decentralized element but the rest of the concept are centralized . i think ripple is not like usdt that are more centralized because value of ripple is like other cryptos . if USDT was decentralized they won't be able to freeze stolen funds and illegal money on their blockchain, you need to do good research before raising claims
did that already happen before ? then that was nice because they can control scams , hacks and other illegal acts. no true decentralized system can do that but isnt that useful ? October 24, 2020, 03:02:54 AM
Tether ( USDT ) and XRP ( Ripple ) are confirmed centralized crypto project, who told you that USDT is decentralized? That's a misleading information OP, if USDT was decentralized they won't be able to freeze stolen funds and illegal money on their blockchain, you need to do good research before raising claims
October 24, 2020, 02:16:19 AM
No man sorry but, the only true decentralized stable coin I know of is DAI. All other stable coins (that I know off) can freeze your tokens if they feel like you are doing something wrong but not in DAI. I doubt USDT can ever truly become decentralized.
October 24, 2020, 02:05:18 AM
Can't they even freez your balances in your USDT accounts? I don't think that qualifies for a decentralized currency.
As long as it has an issuer and its supply is controlled, it still can't be decentralized because someone is controlling the supply.
As long as it has an issuer and its supply is controlled, it still can't be decentralized because someone is controlling the supply.
October 24, 2020, 01:54:50 AM
The first sentence in the white paper of Tether (USDT) says the following. A digital token backed by fiat currency provides individuals and organizations with a
robust and decentralized method of exchanging value while using a familiar accounting unit.
Now don't get me wrong. I use USDT a lot, in fact I love it. The fixed price of $1 while being a cryptocurrency makes crypto transactions for purchasing services easy and beautiful.
But I keep thinking of how original paper money was created. In history we had gold for trading. Then gold became inconvenient so bankers offered to hold gold for paper that verifies how much gold is owed to customers. Then this paper became more convenient and was used instead of gold with the trust that its backed by gold. Then this paper a long time later became a currency that isn't backed by gold anymore.
Could the same happen with USDT. If everyone decided to claim original $$$ with their USDT, would Tether Limited issue it all making the price worthless?
Anyway the point I am trying to make is that Tether (USDT) is centralized around the Tether Limited's will to keep it going. This company is basically like a bank too.
USDT was never a decentralized platform right from day one, I don't know where you see this information from, USDT never even tried to go decentralized, they are like ripple but stable coin, the only decentralized stable coin I knew of is DAI but still I prefer USDT and BUSD robust and decentralized method of exchanging value while using a familiar accounting unit.
Now don't get me wrong. I use USDT a lot, in fact I love it. The fixed price of $1 while being a cryptocurrency makes crypto transactions for purchasing services easy and beautiful.
But I keep thinking of how original paper money was created. In history we had gold for trading. Then gold became inconvenient so bankers offered to hold gold for paper that verifies how much gold is owed to customers. Then this paper became more convenient and was used instead of gold with the trust that its backed by gold. Then this paper a long time later became a currency that isn't backed by gold anymore.
Could the same happen with USDT. If everyone decided to claim original $$$ with their USDT, would Tether Limited issue it all making the price worthless?
Anyway the point I am trying to make is that Tether (USDT) is centralized around the Tether Limited's will to keep it going. This company is basically like a bank too.
Jump to: