Tether to buy Bitcoin based on monthly net profits - page 2.

entebah

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Quote from: Onset on May 17, 2023, 03:48:20 PM

finally, the FUD thing is very real. If USDT collapses, Bitcoin will suffer tremendously if a lot of Tether’s reserves are in BTC. On the other hand.. in Bitcoin’s history, except the very last bear run, there’s no downturn it’s never recovered from.

if usdt collapses maybe it will make the Bitcoin price will decrease just like when Luna/TUSD collapsed i saw Bitcoin prices slowly decrease from 39.6k$ to the lowest price 26.7k$ and until now it still recovering.

Onset

jr. member

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I partially agree with almost everyone on this page. It’s a great business idea and strategy to keep purchasing Bitcoin. But it’s weird how a company who prints money gets to invest in things. Even if the reserves are fully backed, still very weird to think about it.

And finally, the FUD thing is very real. If USDT collapses, Bitcoin will suffer tremendously if a lot of Tether’s reserves are in BTC. On the other hand.. in Bitcoin’s history, except the very last bear run, there’s no downturn it’s never recovered from.

avikz

legendary

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Has Tether decided to become a non-stable coin? Or is it just a business decision to power up the asset side of their book? I believe it's the second one.

If yes, it's a great decision to be taken as a business. Microstrategy is definitely way more bullish on bitcoin than anyone else. But this Kind of approach that Tether is taking makes sense. They will be able to average out their purchase cost by spreading out their purchases. Good news for the market as well.

Z390

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Tether was a successful company right from the beginning I don't know why they now decide to come out in the public to announced it, something that has been going on for a very long time now, to me, its not a new news at all.

How can a company as big as Tether keep all those juicy gains with them all this while and not invest in Bitcoin? It makes no sense.

What I don't want to hear about Tether company is that they come up with an idea to build something for crypto space, maybe a metaverse project or a layer 1 project, I will stop using usdt at that time because anything can happen.

There might come a time where they will announce a bankruptcy, and that will bring the whole market down, Tether USDt should stayed Tether USDt, please lol.

_act_

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Lightning network is good with small amount of BTC

Quote from: Edwardard on May 17, 2023, 09:11:22 AM

Quote from: _act_ on May 17, 2023, 09:04:02 AM

Just like Microstrategy, tether is planing to be investing more on bitcoin.

Lol, I think tether is the one investing in bitcoin since the company's birth. They are the real OG.

This should not cause an argument, I did not say that tether is not investing in bitcoin. I am only indicating how they get more preference for bitcoin. That is why I compare tether to microstrategy. I also stated that they hold $1.5 bitcoin.

Quote from: livingfree on May 17, 2023, 09:41:22 AM

Quote from: Hamza2424 on May 17, 2023, 09:38:13 AM

If they are thinking to increase their BTC reserves it's great but it is again alarming for us because it will lead to more volatility in the market if any fud occurs similar to the LUNA.

Honestly, this is what I'm thinking. Since Luna is also associated to Terra/USTC, I am having that feeling that this could also lead to the same thing as them but it could also be entirely different.

The problem with Luna was that he made UST to be an algorithmic stable coin. The way both stable coin works are different. What you can compare with USDT is USDC. See what happened to USDC recently as it depegged, but later increased back to normal price. Tether still have 85% of his asset as fiat. The second problem of Luna was the team behind the project and how Luna falled, not even bitcoin.

livingfree

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Quote from: Hamza2424 on May 17, 2023, 09:38:13 AM

If they are thinking to increase their BTC reserves it's great but it is again alarming for us because it will lead to more volatility in the market if any fud occurs similar to the LUNA.

Honestly, this is what I'm thinking. Since Luna is also associated to Terra/USTC, I am having that feeling that this could also lead to the same thing as them but it could also be entirely different.

I know that Tether is big and I've got the same feeling on what happened in the past could really lead them to it. It sounds exciting and easy since they're buying Bitcoin. Who knows if it'll be a success and we'll just have to wait what will happen but hopefully, it will be the opposite and it'll result good for them and best for Bitcoin.

Hamza2424

legendary

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My views on the tether are very strong and this is one of the most shady stablecoin projects ever. Be careful whoever is holding a decent amount in this coin because this many times reminded you that the next major crisis is gonna be related to the tether. As most of the reserves are on equities and bonds whatever they call it short-term or whatever but they can't provide enough liquidity on the spot if USDT gets de-pegged and that's gonna be a great disaster again.

If they are thinking to increase their BTC reserves it's great but it is again alarming for us because it will lead to more volatility in the market if any fud occurs similar to the LUNA. If any fud occurs and USDT gets de-pegged for the liquidity team will sell out Bitcoin as LUNA's team did and that will lead more market volatility.

There are a few key features of Tether;

♣ Lack of Transperency.
♣ Unconfident Reserves.
♣ Regulatory Risks.
♣ Counter Party Risks.
♣ Uncofident Supply (Token Printing).

Doan9269

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Quote from: _act_ on May 17, 2023, 09:04:02 AM

Just like Microstrategy, tether is planing to be investing more on bitcoin. But unlike Microstrategy, we do not know how bitcoin maximalist they are yet.

One thing i also believe is that not only tether is into this, there are many other companies and organizations that do buy and hodl bitcoin consistently without us knowing as long as they are not making noise about it, this are investors that don't only rely on their own coin, they uses other's invest with them to secure a guaranteed asset with bitcoin in case of times of uncertainties.

Quote from: _act_ on May 17, 2023, 09:04:02 AM

One thing to learn from is that they stated that they are putting their bitcoin holding into a self-custody wallet.

They all invest with bitcoin and have their coin in their personal wallet while their own investors will have theirs with them, what an irony.

tbct_mt2

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Quote from: _act_ on May 17, 2023, 09:04:02 AM

Just like Microstrategy, tether is planing to be investing more on bitcoin. But unlike Microstrategy, we do not know how bitcoin maximalist they are yet.

They are smart to use their stable coin for buying Bitcoin. Storing stable coin does not help them richer but Tether are not Bitcoin Maximalist. They are a stable coin company and Bitcoin is only one of assets in their treasury.

Quote

Tether has $1.5 billion in bitcoin. That is 2% of their total reserves. 85% of their total reserves is in cash, cash equivalents and other short-term deposits, primarily treasure bills.

According to Bitcoin Treasuries, Tether are holding about 52,673 BTC which is $1.4B equivalent.

When Tether was in fud attacks months ago because of massive panic around stable coins, they released a very good report and if it was cooked, they would collapse already, not be fine like they are now.

Edwardard

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Quote from: _act_ on May 17, 2023, 09:04:02 AM

Just like Microstrategy, tether is planing to be investing more on bitcoin.

Lol, I think tether is the one investing in bitcoin since the company's birth. They are the real OG.

Quote from: _act_ on May 17, 2023, 09:04:02 AM

But unlike Microstrategy, we do not know how bitcoin maximalist they are yet.

You know whenever tether prints usdt, bitcoin pumps later. Why? They print and buy everytime. Its just that they dont make their strategy public.

_act_

legendary

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Lightning network is good with small amount of BTC

Just like Microstrategy, tether is planing to be investing more on bitcoin. But unlike Microstrategy, we do not know how bitcoin maximalist they are yet.

One thing to learn from is that they stated that they are putting their bitcoin holding into a self-custody wallet. As a person or organization, there is nothing better than to have your keys and your coins than to depend. This means a lot to me and to people that prefer self-custody.

Tether has $1.5 billion in bitcoin. That is 2% of their total reserves. 85% of their total reserves is in cash, cash equivalents and other short-term deposits, primarily treasure bills.

https://cointelegraph.com/news/tether-to-buy-bitcoin-based-on-monthly-net-profits

Bitcoin will be a coin that people and organizations will depend on. More organizations will see that bitcoin offers value more than fiat, but they need to understand why, when and how.

Topic: Tether to buy Bitcoin based on monthly net profits - page 2. (Read 283 times)