[OFFICIAL]Bitfinex.com first Bitcoin P2P lending platform for leverage trading - page 23.

Timetwister

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Quote from: TheQuin on December 21, 2017, 09:56:53 AM

Quote from: Timetwister on December 21, 2017, 09:01:18 AM

I have been lending on Bitfinex for months and would like to keep doing so, but honestly I’m scared about this Tether stuff, so I withdrew. I know both competitors and Bcash supporters have interest in talking shit about Bitfinex, but I don’t understand the point of Tethers. Why would anyone exchange USD for them instead of directly buying BTC with USD?

The main point of Tethers is to be able to transfer value in USD without currency risk or using the banking system (speed and cost). I believe many use them to get USD onto exchanges that they cannot directly deposit at. Also, the exchanges buy them for their customers when they want to withdraw to another exchange. I imagine a large amount of the USD margin lending came into the system via Tether

So basically those depositing USD to get Tethers created would be people that for some reason can’t buy in traditional exchanges like Bitstamp, Kraken, GDAX, etc. So it must be either people that want to invest a large amount of money at once (which isn’t possible on those exchanges because of low withdrawal limits), that want to buy cryptocurrency fast (assuming the process to get Tethers is faster than being verified in exchanges) or that their money ins’t accepted for some reason but Tether does accept it (because of being located in a country with a laxer regulation)

TheQuin

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Quote from: Samarkand on December 21, 2017, 10:11:16 AM

I apologize, you actually did only use the term "report" and not the term "audit".
However, this has obvious implications. An audit is more legally binding than a report or a memorandum.

Actually, the process that they conducted of reconciling the bank statements and querying Tether on all the transactions is exactly what an accountant would describe as the process of auditing. I can only speak from a UK perspective here but the only legal bit is that a Limited Company must have its annual accounts audited by a Chartered Accountant before submitting them to the tax authorities. Reading anything into the fact Freidman LLP called it a memorandum rather than an audit is likely to lead to incorrect conclusions.

Quote from: Samarkand on December 21, 2017, 10:11:16 AM

I don´t think.....

We seem to have come full circle back to where you quoted me.

Samarkand

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Quote from: TheQuin on December 21, 2017, 09:56:53 AM

...

Where in that quote did I say audit?

....

The main point of Tethers is to be able to transfer value in USD without currency risk or using the banking system (speed and cost). ...
...

I apologize, you actually did only use the term "report" and not the term "audit".
However, this has obvious implications. An audit is more legally binding than a report or a memorandum.

I don´t think the main point of Tether is being able to transfer USD without currency risk. This
is what they are touting as Tether´s purpose, but really it is used as a workaround for banking
regulations. The big altcoin exchanges like Bittrex and Poloniex would have big trouble opening a real bank account
and therefore only use USDT trading pairs instead of actual fiat trading pairs. This reduces the regulatory overhead
and works fine as long as people actually believe Tethers are redeemable for real USD or until the
US decide to crack down on this scheme.

Dunkelheit667

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no degradation

Quote from: Timetwister on December 21, 2017, 09:01:18 AM

..., but I don’t understand the point of Tethers. Why would anyone exchange USD for them instead of directly buying BTC with USD?

Fund your Kraken account with USD, buy Tether, transfer Tether to Bitfinex, buy BTC with Tether, withdraw BTC from Bitfinex.

Why would you do that? In case it's easier for you to fund the Kraken account with USD (or impossible to fund the Bitfinex account) and/or BTC are lower priced on Bitfinex.

This is only one example, of course. As far as I remember one of the reasons to create Tether was to transfer fiat funds (faster) between exchanges. I guess people doing arbitrage like this feature as well.

Ok, TheQuin was faster.

TheQuin

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Quote from: Timetwister on December 21, 2017, 09:01:18 AM

I have been lending on Bitfinex for months and would like to keep doing so, but honestly I’m scared about this Tether stuff, so I withdrew. I know both competitors and Bcash supporters have interest in talking shit about Bitfinex, but I don’t understand the point of Tethers. Why would anyone exchange USD for them instead of directly buying BTC with USD?

The main point of Tethers is to be able to transfer value in USD without currency risk or using the banking system (speed and cost). I believe many use them to get USD onto exchanges that they cannot directly deposit at. Also, the exchanges buy them for their customers when they want to withdraw to another exchange. I imagine a large amount of the USD margin lending came into the system via Tether.

Quote from: Samarkand on December 21, 2017, 09:38:12 AM

Quote from: TheQuin on December 21, 2017, 01:28:28 AM

Quote from: Timetwister on December 20, 2017, 04:38:07 PM

it makes me think they are just being created out of thin air to buy real BTC.

On the one hand, we have a reputable New York accountancy firm that has inspected the bank statements and queried every item with Tether and then chosen to risk their reputation by publishing a report confirming that the funds exist.

On the other hand, we have a lot of people that think it is created out of thin air.

I know which is informing my decision to keep the funds I do on Bitfinex.

And by audit you mean the memorandum that they released, which was not an actual audit?

Where in that quote did I say audit?

Quote from: Samarkand on December 21, 2017, 09:38:12 AM

Besides, reputable accounting firm might be a bit of a stretch. Other exchanges are audited by
one of the Big4 accounting firms (e.g. Bitstamp). Someone posted a client list of other companies that engage
Friedman LLP as an auditor and I´d bet that most people have never heard of a single one of these companies.

It is not a stretch at all. The size of an accountancy firm is not a measure of reputation nor is having household names on the client list. I had a good search and was unable to find any reason not to trust them. The company has many partners listed all of whom stand to lose personally if the companies reputation was damaged by putting their name to verifying something that turned out to be false. What they say holds far more weight than anything @bitfinexed made up.

Samarkand

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Quote from: TheQuin on December 21, 2017, 01:28:28 AM

Quote from: Timetwister on December 20, 2017, 04:38:07 PM

it makes me think they are just being created out of thin air to buy real BTC.

On the one hand, we have a reputable New York accountancy firm that has inspected the bank statements and queried every item with Tether and then chosen to risk their reputation by publishing a report confirming that the funds exist.

On the other hand, we have a lot of people that think it is created out of thin air.

I know which is informing my decision to keep the funds I do on Bitfinex.

And by audit you mean the memorandum that they released, which was not an actual audit?

The document, which explicitly stated that it should not be relied on by people outside of Tether:
http://www.trustnodes.com/wp-content/uploads/2017/12/tether-non-audit-audit.png

Besides, reputable accounting firm might be a bit of a stretch. Other exchanges (e.g. Bitstamp) are audited by
one of the Big4 accounting firms. Someone posted a client list of other companies that engage
Friedman LLP as an auditor and I´d bet that most people have never heard of a single one of these companies.

Timetwister

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Quote from: TheQuin on December 21, 2017, 05:32:39 AM

Quote from: mayax on December 21, 2017, 05:22:34 AM

Bitfinex is an illegal company

How many times do I have to explain this to you mayax? Bitfinex is not doing anything illegal and your misunderstanding of licencing requirements doesn't alter that.

Quote from: mayax on December 21, 2017, 05:25:33 AM

yes, you are right. Tethers is created from thin air.

There is not one shred of evidence to back up these false claims and plenty of evidence to support that Tethers are 100% backed by real USD.

I have been lending on Bitfinex for months and would like to keep doing so, but honestly I’m scared about this Tether stuff, so I withdrew. I know both competitors and Bcash supporters have interest in talking shit about Bitfinex, but I don’t understand the point of Tethers. Why would anyone exchange USD for them instead of directly buying BTC with USD?

TheQuin

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Quote from: mayax on December 21, 2017, 05:22:34 AM

Bitfinex is an illegal company

How many times do I have to explain this to you mayax? Bitfinex is not doing anything illegal and your misunderstanding of licencing requirements doesn't alter that.

Quote from: mayax on December 21, 2017, 05:25:33 AM

yes, you are right. Tethers is created from thin air.

There is not one shred of evidence to back up these false claims and plenty of evidence to support that Tethers are 100% backed by real USD.

mayax

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Quote from: Timetwister on December 20, 2017, 04:38:07 PM

Quote from: TheQuin on December 16, 2017, 08:39:18 AM

Quote from: Samarkand on December 16, 2017, 08:30:31 AM

Does anyone actually believe Tether received 305M $ in wire transfers in the last 5 days?

Yes, only a handful of people are determined to see everything in a negative light.

Quote from: Samarkand on December 16, 2017, 08:30:31 AM

Institutional investors are even hesitant about the regulated futures so far and the trading volume at the CBOE has been pretty dismal.

That is to ignore that CBoE is a very small futures exchange and the contract is only supported by one broker so far. Also, it rather misses the purpose of futures. They are an instrument for trading and hedging primarily and are not used by investors.

Quote from: Samarkand on December 16, 2017, 08:30:31 AM

Yet people claim that investors are wiring 305M $ to buy Tethers in order to buy cryptocurrencies in just 5 days?

Why not? Investors that actually want to hold Bitcoins cannot do it via the futures.

Why would anyone deposit USD to get Tether to buy another cryptocurrency afterwards, instead of just directly buying BTC with those USD (and then trading BTC for other crypto currencies if she wants)?

I was lending some BTC at Bitfinex, but I really don’t understand what’s going on with Tethers and it makes me think they are just being created out of thin air to buy real BTC.

yes, you are right. Tethers is created from thin air. There around of 900 millions Tether generated. Who is the idiot to buy Tether? What for?

The Bitfinex shills will start barking now. LOL

mayax

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Quote from: Quickseller on December 21, 2017, 01:51:20 AM

Quote from: TheQuin on December 21, 2017, 01:49:17 AM

Quote from: Quickseller on December 21, 2017, 01:32:12 AM

this does not necessarily mean any of them actually think this, and I suspect many of them do not.

That's a very good point. If Bitfinex is ever successful in getting any of them in court for defamation I'm sure the backstories of some of these characters will be fascinating.

I suspect it is an orchestrated smear campaign paid for by one of their competitors. They apparently have retained a law firm to go after the guy behind the guy behind twitter.com/bitfinexed

I suspect that you are part of Bitfinex criminal gang or you are one of their shills too

Bitfinex is an illegal company and they will never go to someone who is telling the truth about their crimes.

Quickseller

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Quote from: TheQuin on December 21, 2017, 01:49:17 AM

Quote from: Quickseller on December 21, 2017, 01:32:12 AM

this does not necessarily mean any of them actually think this, and I suspect many of them do not.

That's a very good point. If Bitfinex is ever successful in getting any of them in court for defamation I'm sure the backstories of some of these characters will be fascinating.

I suspect it is an orchestrated smear campaign paid for by one of their competitors. They apparently have retained a law firm to go after the guy behind the guy behind twitter.com/bitfinexed

TheQuin

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Quote from: Quickseller on December 21, 2017, 01:32:12 AM

this does not necessarily mean any of them actually think this, and I suspect many of them do not.

That's a very good point. If Bitfinex is ever successful in getting any of them in court for defamation I'm sure the backstories of some of these characters will be fascinating.

Quickseller

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Quote from: TheQuin on December 21, 2017, 01:28:28 AM

Quote from: Timetwister on December 20, 2017, 04:38:07 PM

it makes me think they are just being created out of thin air to buy real BTC.

On the one hand, we have a reputable New York accountancy firm that has inspected the bank statements and queried every item with Tether and then chosen to risk their reputation by publishing a report confirming that the funds exist.

On the other hand, we have a lot of people that think it is created out of thin air.

I know which is informing my decision to keep the funds I do on Bitfinex.

You are mistaken, my friend. We have a lot of people saying USDT is created out of thin air -- this does not necessarily mean any of them actually think this, and I suspect many of them do not.

TheQuin

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Quote from: Timetwister on December 20, 2017, 04:38:07 PM

it makes me think they are just being created out of thin air to buy real BTC.

On the one hand, we have a reputable New York accountancy firm that has inspected the bank statements and queried every item with Tether and then chosen to risk their reputation by publishing a report confirming that the funds exist.

On the other hand, we have a lot of people that think it is created out of thin air.

I know which is informing my decision to keep the funds I do on Bitfinex.

Timetwister

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Quote from: TheQuin on December 16, 2017, 08:39:18 AM

Quote from: Samarkand on December 16, 2017, 08:30:31 AM

Does anyone actually believe Tether received 305M $ in wire transfers in the last 5 days?

Yes, only a handful of people are determined to see everything in a negative light.

Quote from: Samarkand on December 16, 2017, 08:30:31 AM

Institutional investors are even hesitant about the regulated futures so far and the trading volume at the CBOE has been pretty dismal.

That is to ignore that CBoE is a very small futures exchange and the contract is only supported by one broker so far. Also, it rather misses the purpose of futures. They are an instrument for trading and hedging primarily and are not used by investors.

Quote from: Samarkand on December 16, 2017, 08:30:31 AM

Yet people claim that investors are wiring 305M $ to buy Tethers in order to buy cryptocurrencies in just 5 days?

Why not? Investors that actually want to hold Bitcoins cannot do it via the futures.

Why would anyone deposit USD to get Tether to buy another cryptocurrency afterwards, instead of just directly buying BTC with those USD (and then trading BTC for other crypto currencies if she wants)?

I was lending some BTC at Bitfinex, but I really don’t understand what’s going on with Tethers and it makes me think they are just being created out of thin air to buy real BTC.

becometa.pl

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Bitfinex decided to shut down registrations - even with invitation codes.
All of available ones are "expired or invalid" merely.
Confirmations: https://bitfinex.statuspage.io/incidents/1rxc9vcfqw4d and https://www.reddit.com/r/bitfinex/comments/7kzo4c/referral_link_ticket_answered_in_41_min_missing/drimvwr/

DON'T GET SCAMMED AND DON'T PAY ANOYONE FOR INVITATION! THEY WOULDN'T WORK ANYWAY!

Samarkand

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Quote from: gentlemand on December 18, 2017, 09:33:13 PM

What's the deal with these invite codes? Is it a way to temporarily restrict new customers and lighten the load or is it something a bit more permanent and extreme? Never heard of an exchange doing that before.

I also have never seen this with a Bitcoin exchange. However, there are several other exchanges, who have
disabled registrations temporarily before.

E.g. the small European exchange bl3p.eu (from the Netherlands) is currently
not accepting sign-ups.

Quote

Unfortunately, due to the large influx of users we cannot process new registrations until further notice.

webtimmi

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Hey. How long does it take to receive a response from the support team? And will the support service respond at all?

Sukrim

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Apparently Bitfinex has closed down account creation for now, my referral code from https://www.bitfinex.com/representatives also changed to "[Disabled for new signups]" status which I haven't seen before.

The other thread about "invitation codes" (https://bitcointalksearch.org/topic/bitfinex-community-invitation-code-196145) was about a customer forum in 2013, NOT about these new invitation codes.

I would recommend to focus on Christmas and enjoying time with loved ones, not on running around like maniacs trying to open accounts on already overloaded platforms. If you really "need" to buy cryptocurrency, I'm sure your local nerd friend(s) can help you out.

TheQuin

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Quote from: v.binh on December 18, 2017, 09:20:53 PM

Bitfinex, if you're listening, can you support ticket #311499.

They are not listening on this forum, try r/BitcoinMarkets

Quote from: Quickseller on December 18, 2017, 10:21:31 PM

There was a DDOS attack last week that involved, among other things, creating hundreds of thousands of accounts in order to overload Bitfinex's servers.

It is a bit of an extreme measure but at least it seems to be working for now. It was unusable for quite a bit of last week and I expect that not excepting new customers without an invite code is a tempory solution.

Topic: [OFFICIAL]Bitfinex.com first Bitcoin P2P lending platform for leverage trading - page 23. (Read 723886 times)