How We Can Tell That Tether Is Just “Credit For CryptoCurrencies”: https://dmh.co/2018/08/07/how-we-can-tell-that-tether-is-just-credit-for-cryptocurrencies/
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This illustration of the risk premium ascribed to Tether by FUTR smart contract is startling. The market says that for a Tether-based FUTR to have equivalent minimum base value inside the MNY smart contract alongside the ETH ones, a buyer ought to be paying $83.67 per FUTR. As it happens, FUTR does rise to as much as $200 eventually, so this may be a utility of digital notes: that they can cushion what appears to be alrighty oncoming credit crunch. For effectively what the market is saying is the same thing certain analysts who were sharper than the others on Wall Street were saying by 2006 about the US housing market: this money is not money, it is just credit upon credit upon credit, pure and simple, with no real utility and no real function apart from making some very rich people much richer.
It came to tear the walls on Wall Street down to shreds sooner rather than later. Given Blockchain is such a nascent innovation, and this sort of scandal – a run on the Tether, that is – would likely set the whole industry back years, perhaps it is time to think about precautions now, before it is too late?>>