Topic: Could Tether (USDT) be really called decentralized cryptocurrency? (Read 807 times)

We already saw in September how Tether returned $1 million in USDT that was sent to a non-existent address. Therefore, it is impossible to say that USDT is a decentralized coin. Today, there are only two decentralized stablecoins-DAI and USDJ. All other stablecoins are centralized, including USDT.

Completely agree with you, mate. While many people Tether to be a "decentralized" stablecoin, the hard truth is that it's not. Operating on a decentralized network does not make the stablecoin itself free from third-party interference. Everything will depend on how the stablecoin was coded by the developer. Considering that Bittrex can freeze USDT balances on the Blockchain, the world's most popular stablecoin becomes nothing more than another banking system. This goes against what crypto and Blockchain tech were created for. I guess most people don't mind as long as they're able to make money in the long run. Tether proves to be extremely convenient for day trading and wealth preservation as it mimics traditional Fiat (USD) in every way. It's so much better than cashing out crypto to a bank account.But when it comes to achieving true financial freedom and censorship resistance, traditional cryptocurrencies like Bitcoin and Ethereum prove to be the winner.

Nonetheless, people will eventually get to know everything about Tether as it becomes more popular in the mainstream world. They'll be able to differentiate centralized and decentralized stablecoins with ease. Veterans/experts in the crypto space already know about Tether's issues, as well as, the benefits of using a decentralized stablecoin. With DAI serving as a decentralized alternative to Tether, there may be no need to look further in order to enjoy the best of both worlds. Time will tell us whenever Tether will be a failed experiment or not. Just my thoughts

Tether is not a decentralized cryptocurrency.  He was not and never will be.  The document cited only talks about the decentralized exchange of tether for other values.  We can agree with this, since such an exchange does not really involve a third party.  However, the tether token itself is completely centralized in nature.

The only question is how long before the whole thing collapses anyway, the printing or shall we say creation is out of this world

They could do it, but I won't believe they ever will.
Why bother if everyone uses it already at this point?

That's certainly true, mate. Tether has frozen a substantial number of addresses in the past. I'm sure they won't stop doing it anytime soon. This should make the average person aware that Tether is not really a decentralized stablecoin. The more people become a victim of Tether's schemes, the better it'll be for decentralized stablecoins' adoption in the mainstream world. Centralized stablecoins like Tether and USD Coin bring the traditional banking system to the Blockchain. This goes against what crypto was designed for in the first place. As long as we have decentralized alternatives like DAI and USDJ, nothing should go wrong.

My guess is that Tether will eventually become heavily regulated by mainstream governments. This could lead towards the demise or triumph of USDT in the mainstream world. Everything will depend on how legitimate Bittrex is willing to keep its operations. If it can't comply with regulations, then another centralized stablecoin will take USDT's place on the market. What matters is that crypto/Blockchain tech remains decentralized to become impervious against government intervention. Centralized stablecoins will come and go, but decentralized alternatives will last a lifetime. Just my thoughts

dai for the win

This has already happened multiple times. According to available data, so far in 2020 Tether has frozen a total of 24 addresses. Many of these addresses contained USDT valued in millions of USD. The reason was given as "regulatory pressure". This is just an eye-opener to everyone who claim that Tether is a cryptocurrency. The other stablecoins such as USDC are also doing the same.

Tether cannot be called decentralized, because this token is regulated by the owner, the price is stable and the developer can freeze the token at any time.

That won't happen man, the case this time is different from before when the USD is not supported by gold because the volume of gold cannot exceed the volume of trading in the world. So there is no reason USDT is printed without being supported by USD. USDT will remain supported by USD!!

Exactly. But most people don't think that way. They believe that EVERY stablecoin is decentralized as long as it's powered by Blockchain technology. A true misconception surrounding the crypto/Blockchain space if you ask me. As long as this sentiment continues, people will continue falling for Tether's schemes. At least, we have decentralized alternatives that are able to live on their own. DAI is the most popular decentralized stablecoin, yet it suffers from low liquidity and mainstream adoption (compared to its centralized counterparts like Tether and USD Coin). It's no wonder why Tether it's still at the top among other stablecoins on the market.

The constant issuance of USDT tokens, has allowed Tether to remain among the top 5 cryptocurrencies by market cap. Bittrex continues to pump the stablecoin's market cap in order to maintain its dominance. Believe me, this is bad for the whole crypto/Blockchain industry in the long run. If Bittrex ceases operations or governments take down Tether (USDT), you'd expect a massive downfall in price of major cryptocurrencies on the market. At least, there will be a recovery in price after a while. My guess is that another centralized stablecoin will take Tether's place sometime in the future. As long as we have the choice of decentralized stablecoins, nothing else matters. Just my opinion

Exactly. But most people don't think that way. They believe that EVERY stablecoin is decentralized as long as it's powered by Blockchain technology. A true misconception surrounding the crypto/Blockchain space if you ask me. As long as this sentiment continues, people will continue falling for Tether's schemes. At least, we have decentralized alternatives that are able to live on their own. DAI is the most popular decentralized stablecoin, yet it suffers from low liquidity and mainstream adoption (compared to its centralized counterparts like Tether and USD Coin). It's no wonder why Tether it's still at the top among other stablecoins on the market.

The constant issuance of USDT tokens, has allowed Tether to remain among the top 5 cryptocurrencies by market cap. Bittrex continues to pump the stablecoin's market cap in order to maintain its dominance. Believe me, this is bad for the whole crypto/Blockchain industry in the long run. If Bittrex ceases operations or governments take down Tether (USDT), you'd expect a massive downfall in price of major cryptocurrencies on the market. At least, there will be a recovery in price after a while. My guess is that another centralized stablecoin will take Tether's place sometime in the future. As long as we have the choice of decentralized stablecoins, nothing else matters. Just my opinion

USDT is a full 100% centralized stable coin and that can't be denied, USDT is pegged by 1:1 Dollar and it works very well, don't let the decentralized confuse you if that truly appears in USDT whitepaper, Tether is a centralized company and they can't deny that USDT is true centralized digital USD

Tether is the same dollar, only in digital form, and at the same time, this stablecoin is not owned by the state, but by a commercial structure.  Therefore, this coin is completely centralized, and tether can be classified as a cryptocurrency very conditionally.

That's certainly true, mate. USDT is just "Banking 2.0". Why would people interact with a centralized stablecoin if they can simply use Fiat backed by mainstream banks? Crypto is all about being decentralized and censorship-resistant. Take that away from it, and you'll get nothing more than a glorified banking system. Only a fool will believe that Tether (USDT) is decentralized. Living on a decentralized Blockchain network like Ethereum, doesn't mean the stablecoin is decentralized by design. Everything will depend on the code of the stablecoin itself.

The truth is that developers have implemented a "blacklist" function into Tether's code, allowing the issuer to freeze addresses at will. There's nothing we can do to prevent this, since programmable blockchain networks (or should I say, smart contract platforms) allow anyone to code anything to their heart's content. It's up to the person himself to analyze the stablecoin's source code, in order to determine if it's a viable option for long-term investing. But you and I know that not everyone is tech-savvy enough to understand a stablecoin's underlying code. As long as this is the case, people will keep falling for the trap. At least, we have a decentralized alternative called DAI. It's up to you to decide whenever to abandon USDT for DAI, or not.

Nonetheless, there's no doubt that Tether (USDT) is utterly centralized. Other stablecoins like USDC and TUSD are the same. We need more decentralized alternatives in order to reduce centralized stablecoins' dominance on the market. Otherwise, centralized stablecoins will do more harm than good to the crypto/Blockchain industry in general. It's all about eliminating single points of failure whenever possible. Centralized exchanges, centralized stablecoins, and centralized wallets greatly defeat the purpose of crypto/Blockchain tech. If most people continue to rely on centralized services, crypto will be unable to exploit its full potential. Just my opinion

No, it is control by a central authority and it can be freeze. Yes it can be frozen

Anyhow, i am fine with centralized product at some point
Large scale hack couldn't work because rollback can be perform or scammed token could be freeze
Since it is pegged to $1, if they can assure that it is always 1:1 backed
I am fine to use this so call "stablecoin"

I think it is not considered as DeFi, I see that everyone of us who loves crypto, USDT is not like the DeFi we want. I see that so far USDT serves as a bridge connecting crypto assets with other assets. I think about what you said that we can ignore paper money, to do that requires a very complicated transition from real assets to all crypto assets.

NO is definitely not decentralized I mean those people pump serious amount for really I dont know whats back by Only i know is the most used usd in the market so you are safe for now Crypto is good to go till maybe some government activities start kicking 

Only DAI stablecoins are truly decentralized, whereas USDT is a centralized currency. Because USDT was created by a centralized company,
The development team only wants to attract investors attention by making the issue of USDT is decentralized. Despite the fact they have the
ability to freeze USDT if they wish. Therefore it does not guarantee that USDT holding is safe to do,because we lose control of the USDT we have.

I know that too that means monero can't be called as a decentralized coin when it comes to trade in the centralized exchange site. A stable coin is quite different considering it's both become centralized in or out of exchange site.
The backdoor has created and this means smartcontract is controlling by the team.
I think most of stable coin developers were putting the backdoor in their contract to be able to take the urgent decision when there's a bad case happened like hot wallet of exchange site already hacked.

This is something that I have thought for a long time and I do not know why they allow it, after all I understand why governments are not trying to go against bitcoin too strongly because if they fail, and they will, then they will look incompetent since they have no actual way to completely destroy it, but when it comes to tether and other centralized coins they can do so with ease and yet they chose not to do it which creates a very interesting dynamic and only generates more questions. Does this means governments are behind those coins or at least someone with heavy ties with them? Because otherwise I fail to see how they can allow that.

USDT is developed by a centralized company using a decentralized blockchain network so in that case, we cannot call USDT decentralized crypto anymore. Most project sugar quote statements in order to suit their narratives. You hardly see a blockchain project that won't mention the word 'Decentralized" today, even some coin such as monero that is decentralized are being traded on centralized platforms

Even the company never claim they are decentralise and never claim USDT is a decentralised tokens. Looking into the name alon tells you all about the tokens. To be sincere not everything in this space need decentralised system and Tether is one of them, USDT has served the space well and is responsible for the growth of the space, assuming it is Decentralise the marketcap would be lower, jus look at the traction DAI is getting and compared it to other stable coins in the space

Which world you are living in, have you heard about the government accumulating gold before printing currency, just in the past few months US minted trillions of dollars and do you really think that they are backed by gold  . Tether is a centralized currency no matter how we sugarcoat it.

Only a fool will believe Tether's USDT coin to be completely decentralized. A better classification for USDT would be distributed. The underlying blockchain network (ETH) is decentralized, but that doesn't mean the stablecoin has to be the same. A smart contract platform provides developers the tools to build a token or application the way they want to. There's nothing stopping a developer from writing code that would allow him/her to gain certain control over the token or application's core functionalities. Tether's USDT stablecoin has underlying code which allows the issuer (in this case the Tether company) to blacklist ETH addresses at will. Once an address is blacklisted, the USDT balance cannot be spent anywhere on the Blockchain. This model is no different than traditional banking. Governments can easily pressure Tether to blacklist users who don't comply with KYC/AML regulations or simply because a person's transactions are suspicious. So much for a so-called "decentralized stablecoin" in the crypto/Blockchain space.

Nonetheless, I wouldn't worry too much about Tether's current situation. There are better options out there on the market. DAI is a competitor of USDT and a better option for the decentralized world. Its decentralized design allows people to be their own bank without fear of getting funds frozen or confiscated. Of course, Tether's USDT stablecoin is much more popular than DAI in the crypto/Blockchain space. Most dApps and exchanges support it (despite being centralized). But the time will come when people will look for decentralized alternatives as Tether's single points of failure are exposed. The more USDT addresses are blacklisted, the better it'll be for DAI's adoption in the mainstream world. Just my thoughts

Are you sure that paper money is not backed by gold anymore now ?
As i know, to create new paper money in my country, it should be backed with gold reserve by the government.
USD Tether is backed by real bank account, that's why the value is stable.

No it is regulated and hence is not decentralized. Let's keep in mind that in order for its price to be stable, the distribution of the coin must be controlled.
We know that most decentralized cryptocurrencies are volatile and that's the reason why stable coins are made. The characteristics of tether is very different.

I am not sure how much decentralized Tether is. A few weeks back, the Kucoin exchange got hacked, and cryptocurrencies including some amount of USDT were stolen. But after a few days, most of the USDT was frozen. Now this may sound like a good thing, as the thieves don't get the profits from their robbery, but it raises serious questions about the decentralization of Tether. If they can freeze wallets like that, then there is a chance that it can happen to anyone.

The network just provide an infrastructure for tether to be able to use its coin but how decentralized or centralized tether actually depend on the governance that has used by the company. Remember about the decentralization will never try to put the backdoor for the company to be able to control the distribution of coins.
Tether was also able doing it to block any suspicious amounts that owned by its users.

Tether's marketcap grow x4 this year alone. Another x3 and Tether would be at the 2nd spot right after bitcoin.

What is more interesting than tether having no funds to back their currency, it is the US closing their eyes and ears to this. Banks don't let the exchanges use their services because they are afraid of the US government, and now the same exchanges can use USD without needing banks for any purpose. On the other hand, the US can close those exchanges or kill tether if they wanted to but for some reason they don't. Which makes it even more interesting.

Tether's claims that its stablecoin is "decentralized" is just another scheme to attract people into it. Deep inside, it's all centralized as the company has the power to freeze or restrict access to your funds at will. It has been shown over time that Tether has "blacklisted" several USDT addresses on the Ethereum blockchain. This greatly defeats the purpose crypto and Blockchain technology was created for. The Tether's stablecoin is nothing more than "Central Banking 2.0".

For anyone's reference, here's a detailed list of all ETH addresses with USDT tokens that were banned by Tether: https://explore.duneanalytics.com/public/dashboards/3zhIaRUCFgmZMKqHG0pguvSvw1aOGL8gxFtZ2ujf. According to the site, there had been a total of 209 banned addresses on the ETH blockchain. This shows us how heavily centralized USDT is. But most people don't care about this, as they prefer convenience above all else. After all, Tether's stablecoin is the #1 Fiat-pegged asset on the crypto market. Despite its inherently-centralized design, the stablecoin enjoys of a large ecosystem of apps and exchanges backing it every step of the way. Ultimately, decentralized stablecoins (like DAI and bitUSD) will fulfill the purpose of crypto/Blockchain technology. They won't be able to gather massive adoption in the mainstream world (as Tether is in the spotlight right now), but they're proven alternatives for those looking into censorship resistance above all else. I wouldn't be surprised if Tether's USDT stablecoin goes down the drain in the future.

Nonetheless, many things can happen from Tether shutting down its operations to a full government crackdown. That's what you get with a centralized stablecoin which is no different than traditional Fiat (USD, EUR, etc.). As long as people continue to patronize centralized projects and exchanges, the crypto/Blockchain industry will be unable to fulfill its true purpose (which is to eliminate the middleman from the system). Time will tell us how long Tether (USDT) will last in the crypto/Blockchain space. Just my opinion

In theory in order to create one million in tether they must have one million dollars ready to enter their vaults, but that is just the theory because as I said before there have been accusations against tether that this is not the case, however it is really sad that this being a market for decentralized cryptocurrencies has tether as the third spot in the market and ripple on the fourth as well when we know it has very strong ties with many banks, it is as if people simply do not understand or care about this and it is a shame because if this continues to be true it may come the day in which one of those coins will take the first spot on this market away from bitcoin.

USDT is a stablecoin that is pegged to dollar, base on current state Usdt is centralize blockchain that blend a centralized governance structure with a decentralized network. but the basic fact is centralize..

That's that worst and can't be a decentralized cryptocurrency because of couples of things around it existence. The company that created this coin are centralized and the process of that brought this coins into the cryptocurrency space is through centralization, so, what has centralization got to do with decentralization?. For them said they are decentralized then they are liars and should not be trusted

When there is a company behind a project, it is never decentralized, it could never be one, this is not only true for stablecoins but it is also true for regular altcoins as well that people do not see.

If there is a team behind a project, it could be a swap, it could be token, it could be defi, ieo, coin whatever it is in its core the fact it is that team makes it centralized. Everyone talks about big coins, like for example tron, that sounds like a big proper huge coin right?

I know for a fact that it is not decentralized, Justin Sun could do whatever he can do take control and do whatever he wants with it, what about XRP? The Ripple company could print 500 million more coins tomorrow if they want to, they have that right, you think that is decentralized? Aside from bitcoin and maybe few others there is no decentralized currency in crypto world.

Absolutely not, the project you mentioned is controlled by a business, and this business definitely hides many reserves and transactions. On the other hand, it is not to pass without reminding that the company that continues the management of this project is also not reliable. For this reason, the answer to the question you asked is clearly no, and it seems unlikely that this project will continue its life independently in the coming years.

I think no. a decentralized cryptocurrency can not have a stable price. It has to be changed due to demand. But still i think usdt is needed as a stablecoin for us. Because it is sometimes hard and slow to exchange crypto to usd.

I think that is because DAI is pegged to USD via mediator for which ETH acts.Thereby the mechanic behind  its price stabilization is  a lot harder than it's sounds for USDT. IMO, if only DAI was backed up directly by dollar fund hold some where on bank accounts then exchanges would implement it more readily.

They don't have full backing and this was proven some time ago. I remember saying them admit it that in reality they have maybe 80% of the funds in circulation backed. So they are really not 100% backed and they hold cash equivalents so it's not all usd. They are lying about being 100% backed on their site to lure customers.

https://cryptopotato.com/it-doesnt-matter-if-tether-usdt-is-fully-backed-by-usd-co-founder-william-quigley-says/

https://www.forbes.com/sites/francescoppola/2019/03/14/tethers-u-s-dollar-peg-is-no-longer-credible/

Tether is a company and they only issue USDT when there is a bond in the bank. Tether is a store of absolute value when 1USD = 1USDT, sometimes their exchange rate difference due to market transactions. Tether is issued on different blockchains, and they are still influenced by the Tether company.

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.

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

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.

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.

They still have the full control to what they want for this token so it is not decentralized in any way.


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.

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?

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.

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.

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.

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?

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.

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.

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.

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

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.

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 .

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 ?

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

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.

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.

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

There are almost no real decenetrlization in crypto. Every project is centralized more or less. In terms of mining power or owners. And no, tether is not decentralized at all

Nothing is completely 100% decentralized on the market, more than 50% of the bitcoins have been stored in less than 100 wallet addresses, so decentralization is just an idea we would like to think that way but it's not happening, USDT is not decentralized and that is why the price could be stable around 1$, It wouldn't be like that if it was decentralized, like DIA!

I think Tether has both with a centralized and part decentralized function, But due to its larger USDT circulation Im already doubting that if it was really backed with $fiat (USD) with I is to 1 ratio, Because most of the fiat backed stablecoins has not more that 100 Million total supply thats why Tether should clarify that issue on their part because until it wasnt clear the doubt will still remain.    

Tether will never become a decentralized entity. Tether has brought the fiat currency into the new form to be used to fix that volatility problem that has faced by so many people in the past. Tether has fully control over the contract and the company can freeze any tether that looks suspicious i.e stolen tether from the hacked exchange site.

It's just a dream and tether must also comply with the regulation to issue the digital currency backed by the fiat money.

in a more simple perspective USDT like what you said that Tether is like bank is kinda true. they basically own the whole USDT thing and the money to back it up reserved by them. But, what keeps USDT value is because it's backed by real money otherwise it will worth nothing. In the scenario above you mentioned, if all the usdt holders suddenly cash it out or exchange it to real money then it'll be worthless indeed. Except, tether still have some money reserve left and resulting excess USDT while at the same time destroy all the USDT that already exchanged to real $ then the price will be the same.

DAI is the only stable coins which is decentralized but USDT is centralized and more risky to hold than the fiat money. Value of tether can goes to zero anytime due to the inflation around it, people don't really realize how much tether are getting printed, if they comes to know then for sure they will move to other cryptos which will eventually make the tether to be worthless.

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.

No. A centralized company does not want to create a decentralized cryptocurrency (coin or token), never.

USDT is created by a centralized company and the company try to diversify the chains they use from Bitcoin (OMNI layer) to ERC20, TRC20, EOS chains the USDT has still been a centralized stable coin. Tether can not deny the fact.

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.