News update on Tether.
If everyone has noticed already, I have changed my opinion on Tether because much of the accusations against them cannot be proven and this also caused it to appear that much of these accusations were only fud. However, there is this news update which was denied by Tether's CTO Paolo Ardoino. What is everyone's speculation? Is this only fud or this might be the beginning of another crackdown?
Federal Investigators Probe Cryptocurrency Firm Tether
Authorities are looking at possible violations of anti-money-laundering and sanctions rules
The federal government is investigating cryptocurrency company Tether for possible violations of sanctions and anti-money-laundering rules, according to people familiar with the matter.
Source https://www.wsj.com/finance/currencies/federal-investigators-probe-cryptocurrency-firm-tether-a13804e5
Topic: The Big Short movie, BTC edition? (Read 1934 times)
I'm not too sure, it looks like USDT will be fine in the near future, but many other stable coins have gone bankrupt, one of which is USTC stable coin from Luna and everything in the ecosystem is destroyed.
For now, USDC is still considered the safest because it has high liquid, but I see that when making p2p transactions, people still do it with USDT and there is no excessive doubt/fear
USDT is the most common and most widely used than USDC. I've always been used to USDT when doing LUNA. trading. and indeed there is no excessive fear or doubt about USDT and it will not be like UST like it has.For now, USDC is still considered the safest because it has high liquid, but I see that when making p2p transactions, people still do it with USDT and there is no excessive doubt/fear
Tether or USDT is a crypto asset whose value is guaranteed 1:1 with US dollars. USDT is a stablecoin, or a crypto asset that is designed to have the same value as fiat currency or other assets with a more stable value.
@estenity. It would not be a good idea for who? The regulators or the investors in the cryptospace? It is certainly very clear that in this bear market more strict regulations on stablecoins are coming and this might affect the stength and how powerful the next bull market will be. However, I speculate the stablecoin issuers might also fractionalize and print more out of thin air hehehehe.
Of course that can be done, because we don't really know who is behind the real stablecoin, whether they really have a real dollar backup, or whatever it is that guarantees its value, in my opinion it's not completely right and wrong.
I'm not too sure, it looks like USDT will be fine in the near future, but many other stable coins have gone bankrupt, one of which is USTC stable coin from Luna and everything in the ecosystem is destroyed.
For now, USDC is still considered the safest because it has high liquid, but I see that when making p2p transactions, people still do it with USDT and there is no excessive doubt/fear
For now, USDC is still considered the safest because it has high liquid, but I see that when making p2p transactions, people still do it with USDT and there is no excessive doubt/fear
Has Tether, iFinex and Bitfinex come to a chapter in their story where it has become impossible for them to cause a big short dump on the cryptospace? All the accusations that their stablecoin is not backed 100% by real funding has never been proven. There is a Tether hater in social media called @Bitfinexd that appears to have continued hating Tether, however, the circumstances behind the stablecoin at present appears to have shown that many people were wrong. I am also included in this hehehehe.
Tether is also becoming more responsive on requests for transparency.
Stablecoin issuer Tether and sister company Bitfinex agreed to drop opposition to a New York Freedom of Information Law (FOIL) request brought by a group of journalists, including Bloomberg Businessweek's Zeke Faux
The firms said in a statement that the move is part of their "commitment to transparency," although opposition doesn't mean a complete release of all of its documents. "However, it's essential to clarify that transparency does not mean a wholesale release of all our documents. This approach is not in line with standard business practices," the statement said.
Tether previously made a similar announcement after losing in court twice when attempting to block a June 2021 FOIL request filed by CoinDesk. That request pertained to documents produced during the New York Attorney General's inquiry on allegations that USDT, the U.S. dollar-pegged stablecoin that Tether issues, was not sufficiently backed by reserves from mid-2019 to early 2021, settling charges with the company at the end of that period.
Source https://www.coindesk.com/business/2023/11/24/tether-bitfinex-to-drop-opposition-to-new-york-freedom-of-information-law-request/
Tether is also becoming more responsive on requests for transparency.
Stablecoin issuer Tether and sister company Bitfinex agreed to drop opposition to a New York Freedom of Information Law (FOIL) request brought by a group of journalists, including Bloomberg Businessweek's Zeke Faux
The firms said in a statement that the move is part of their "commitment to transparency," although opposition doesn't mean a complete release of all of its documents. "However, it's essential to clarify that transparency does not mean a wholesale release of all our documents. This approach is not in line with standard business practices," the statement said.
Tether previously made a similar announcement after losing in court twice when attempting to block a June 2021 FOIL request filed by CoinDesk. That request pertained to documents produced during the New York Attorney General's inquiry on allegations that USDT, the U.S. dollar-pegged stablecoin that Tether issues, was not sufficiently backed by reserves from mid-2019 to early 2021, settling charges with the company at the end of that period.
Source https://www.coindesk.com/business/2023/11/24/tether-bitfinex-to-drop-opposition-to-new-york-freedom-of-information-law-request/
This is the beginning, a group of people in congress might write a bill that will create a framework for the government to make stablecoin issuers as the caretakers on cashflow that goes in and out of the cryptospace. This has been speculated since last year and there is no reaction from the community until it will be noticed that the faucet of liquidity is being manipulated.
Leading Democrat Maxine Waters voices concern about PayPal stablecoin
Leading House Democrat Maxine Waters says she is “deeply concerned” about PayPal’s move this week to launch its own stablecoin without having a federal framework in place to regulate the asset.
“PayPal, with 435 million customers globally, exceeds the number of online accounts at all of the megabanks combined,” the California Democrat said on Wednesday in a statement. “Given PayPal’s size and reach, Federal oversight and enforcement of its stablecoin operations is essential in order to guarantee consumer protections and alleviate financial stability concerns.”
Source https://www.theblock.co/post/243991/leading-democrat-maxine-waters-voices-concern-about-paypal-stablecoin
Leading Democrat Maxine Waters voices concern about PayPal stablecoin
Leading House Democrat Maxine Waters says she is “deeply concerned” about PayPal’s move this week to launch its own stablecoin without having a federal framework in place to regulate the asset.
“PayPal, with 435 million customers globally, exceeds the number of online accounts at all of the megabanks combined,” the California Democrat said on Wednesday in a statement. “Given PayPal’s size and reach, Federal oversight and enforcement of its stablecoin operations is essential in order to guarantee consumer protections and alleviate financial stability concerns.”
Source https://www.theblock.co/post/243991/leading-democrat-maxine-waters-voices-concern-about-paypal-stablecoin
Drama about whether there is a real USD support for USDT will certainly continue to be a conversation and debate, even though several times the USDT developer provides concrete evidence that all USDT stocks get a real USD stock, but there are still many who doubt this and hopefully this does not make a shock in the market.
However, it appears that no one believes that Tether is a fractionalized moneylaundering coin anymore. I have been seeing some people who were declaring themselves as bitcoin maximilists in support of Tether. I am not certain why but it might be because of their own interests.
Also, Paypal has issued their own stablecoin which might support the speculation that the American government might use stablecoin issuers as the gateways for inflows and outflows of dollars for the cryptospace.
Payments giant PayPal (PYPL.O) said on Monday it has launched a U.S. dollar stablecoin, becoming the first major financial technology firm to embrace digital currencies for payments and transfers.
While stablecoins - crypto tokens whose monetary value is pegged to a stable asset to protect from wild volatility - have been around for years now, they are yet to successfully make headway into the mainstream consumer payments ecosystem.
Instead, consumers mostly use stablecoins as a means to trade other cryptocurrencies, like bitcoin and ether. The world's largest stablecoin is Tether, followed by USD Coin, which is issued by crypto provider Circle.
Source https://www.reuters.com/technology/paypal-launches-stablecoin-crypto-push-2023-08-07/
Drama about whether there is a real USD support for USDT will certainly continue to be a conversation and debate, even though several times the USDT developer provides concrete evidence that all USDT stocks get a real USD stock, but there are still many who doubt this and hopefully this does not make a shock in the market.
I have been bullish on the cryptospace recently, however, there is a rumor that CZ and Tether are fighting. I speculate when this person owns the biggest exchange, this person might have the capability to decide in what state of circumstances where Tether might be in 1 year. This might end with another big dump on our faces.
I will collect more information and share updates in this thread.
Isn't it interesting that USDt is being pressured down (slightly, within 10bps, just to push market makers to react), and USDc, the main competitor that you would expect being gaining from the situation, is redeemed heavily nevertheless, while suddenly a competitor born 2 days ago is getting it all?
Exactly! It feels definitely organic and not manipulative at all.
Some people never learn.
Source https://twitter.com/paoloardoino/status/1687203348561223680
I will collect more information and share updates in this thread.
Isn't it interesting that USDt is being pressured down (slightly, within 10bps, just to push market makers to react), and USDc, the main competitor that you would expect being gaining from the situation, is redeemed heavily nevertheless, while suddenly a competitor born 2 days ago is getting it all?
Exactly! It feels definitely organic and not manipulative at all.
Some people never learn.
Source https://twitter.com/paoloardoino/status/1687203348561223680
News update.
Very much similar to what I have said before, the American government will make stablecoin issuers of their choosing as the gateways of liquidity and inflows and outflows of fiat in and out of the cryptospace. The regulatory framework for this might be available and ready on the president's desk on 2024 before the election.
Senior members of the House of Representatives suggested that a deal to create a comprehensive framework in the U.S. around stablecoins could be close.
And late on Wednesday the House Financial Services Committee advanced legislation to significantly alter the U.S. regulatory approach to crypto markets by a bipartisan vote, 35-15. The bill drew staunch opposition from several senior Democrats on the panel, but Republicans were joined by six Democrats report the bill out favorably, a procedural step towards consideration before while House of Representatives.
Waters and House Financial Services Committee Chair Patrick McHenry, R-N.C., were optimistic that ongoing last-minute negotiations could yield more agreement on stablecoins legislation paired with the market bill and due up for a similar committee vote on Thursday.
Source https://www.theblock.co/post/241508/democrats-oppose-crypto-market-overhaul-but-stablecoin-deal-possible
Very much similar to what I have said before, the American government will make stablecoin issuers of their choosing as the gateways of liquidity and inflows and outflows of fiat in and out of the cryptospace. The regulatory framework for this might be available and ready on the president's desk on 2024 before the election.
Senior members of the House of Representatives suggested that a deal to create a comprehensive framework in the U.S. around stablecoins could be close.
And late on Wednesday the House Financial Services Committee advanced legislation to significantly alter the U.S. regulatory approach to crypto markets by a bipartisan vote, 35-15. The bill drew staunch opposition from several senior Democrats on the panel, but Republicans were joined by six Democrats report the bill out favorably, a procedural step towards consideration before while House of Representatives.
Waters and House Financial Services Committee Chair Patrick McHenry, R-N.C., were optimistic that ongoing last-minute negotiations could yield more agreement on stablecoins legislation paired with the market bill and due up for a similar committee vote on Thursday.
Source https://www.theblock.co/post/241508/democrats-oppose-crypto-market-overhaul-but-stablecoin-deal-possible
News update. It appears Tether might be the safest and the most stable of stablecoins hehehe. According to their latest attestation, they are earning yield on their assets which are backed by bonds, precious metals and bitcoin.
Also, there are bitcoin maximalists who have presently become supporters of Tether? There are images of Samsung Mow wearing a shirt with a Tether logo.
Today, Tether Holdings Limited published its assurance opinion for Q1 of 2023 completed by BDO Italia, a top five-ranked global independent public accounting firm. The attestation re-affirms the accuracy of Tether’s Consolidated Reserves Report (CRR), which breaks down the assets held by the group as of March 31, 2023. The CRR provides for the first time, additional categories with the aim of increasing transparency into Tether’s reserves reporting. Physical gold, Overnight Repo, Corporate Bonds and Bitcoin ownership have been reported separately. It reveals an increase in Tether's excess of reserves reaching an all-time high of $2.44B up $1.48B for the first quarter of 2023.
Another excellent quarter for Tether under several aspects: $1.48B of net profit strengthening Tether’s reserves and an increase in the token in circulation of 20% which is a clear indicator of the trust of Tether’s customers which allows Tether to be very optimistic for the future.
Tether closed the first quarter 2023 with $81.8B in consolidated total assets. The majority of its reserves are invested in US Treasury Bills. It has also been working to take steps to reduce its reliance on pure bank deposits as a source of liquidity and instead leverage the Repo market as an additional measure to ensure higher standards of protection for its users by maintaining the required liquidity.
Source https://tether.to/en/tethers-latest-q1-2023-assurance-report-shows-reserves-surplus-at-all-time-high-of-244b-up-148b-in-net-profit-new-categories-for-additional-transparency-reveals-bitcoin-and-gold-allocations/
Also, there are bitcoin maximalists who have presently become supporters of Tether? There are images of Samsung Mow wearing a shirt with a Tether logo.
Today, Tether Holdings Limited published its assurance opinion for Q1 of 2023 completed by BDO Italia, a top five-ranked global independent public accounting firm. The attestation re-affirms the accuracy of Tether’s Consolidated Reserves Report (CRR), which breaks down the assets held by the group as of March 31, 2023. The CRR provides for the first time, additional categories with the aim of increasing transparency into Tether’s reserves reporting. Physical gold, Overnight Repo, Corporate Bonds and Bitcoin ownership have been reported separately. It reveals an increase in Tether's excess of reserves reaching an all-time high of $2.44B up $1.48B for the first quarter of 2023.
Another excellent quarter for Tether under several aspects: $1.48B of net profit strengthening Tether’s reserves and an increase in the token in circulation of 20% which is a clear indicator of the trust of Tether’s customers which allows Tether to be very optimistic for the future.
Tether closed the first quarter 2023 with $81.8B in consolidated total assets. The majority of its reserves are invested in US Treasury Bills. It has also been working to take steps to reduce its reliance on pure bank deposits as a source of liquidity and instead leverage the Repo market as an additional measure to ensure higher standards of protection for its users by maintaining the required liquidity.
Source https://tether.to/en/tethers-latest-q1-2023-assurance-report-shows-reserves-surplus-at-all-time-high-of-244b-up-148b-in-net-profit-new-categories-for-additional-transparency-reveals-bitcoin-and-gold-allocations/
Is this part of Operation Chokepoint 2.0?
It appears that the speculation on stablecoins being deputized to be the gateways for inflows and outflows of fiat for the cryptospace might become true. A draft for a bill on stablecoin legislation has been created in United States congress.
DeFi and open finance stablecoins will become illegal, however, licensed stablecoins similar to USDC will be permitted and might also have the support of the government on liquidity.
A BILL
To provide requirements for payment stablecoin issuers, research on a digital dollar, and for other purposes.
Source https://docs.house.gov/meetings/BA/BA21/20230419/115753/BILLS-118pih-Toproviderequirementsforpaymentstablecoinissuersresearchonadigitaldollarandforotherpurposes.pdf
It appears that the speculation on stablecoins being deputized to be the gateways for inflows and outflows of fiat for the cryptospace might become true. A draft for a bill on stablecoin legislation has been created in United States congress.
DeFi and open finance stablecoins will become illegal, however, licensed stablecoins similar to USDC will be permitted and might also have the support of the government on liquidity.
A BILL
To provide requirements for payment stablecoin issuers, research on a digital dollar, and for other purposes.
Source https://docs.house.gov/meetings/BA/BA21/20230419/115753/BILLS-118pih-Toproviderequirementsforpaymentstablecoinissuersresearchonadigitaldollarandforotherpurposes.pdf
This is very head scratching. It has always been speculated that Tether might be the stablecoin that might fail and bring the big short to the cryptospace, however, it is beginning to appear that USDC might be the one hehehe.
The peg went below $0.90 but it is returning back to $0.95. We cannot be quite certain if this is the end of the show, however.
Crypto investors have flocked to redeem their USD Coin (USDC) holdings after its issuer Circle revealed it held $3.3 billion of its reserves at the failed Silicon Valley Bank (SVB).
Concerns about USDC’s reserves emerged after U.S. regulators took control of the bank. The stablecoin issuer confirmed it had exposure to the institution, leading to massive withdrawals from the platform.
Meanwhile, the concerns about the stablecoin reserves have seen it depeg against its rivals. BeInCrypto data showed that the stablecoin tanked 10% following the news to $0.90 as of press time.
Top crypto exchanges Binance and Coinbase said they would suspend USDC’s conversion, citing “market conditions.” Binance said the move was a “normal risk-management procedural step to take.” Coinbase also suspended the stablecoin’s conversion over the weekend. The U.S.-based exchange plans to recommence the conversion on Monday when banks open.
Source https://beincrypto.com/usdc-market-cap-6b-circle-exposure-silicon-valley-bank/
Also, there are reports that there are billions of venture capital funds that cannot be withdrawn from Silicon Valley bank because of the bank run. The crypto related funds are owned by a16z cryptoventures, Pantera and Paradigm. They have invested billions in different projects in the cryptospace.
Source https://mobile.twitter.com/wublockchain/status/1634473009061953536
The peg went below $0.90 but it is returning back to $0.95. We cannot be quite certain if this is the end of the show, however.
Crypto investors have flocked to redeem their USD Coin (USDC) holdings after its issuer Circle revealed it held $3.3 billion of its reserves at the failed Silicon Valley Bank (SVB).
Concerns about USDC’s reserves emerged after U.S. regulators took control of the bank. The stablecoin issuer confirmed it had exposure to the institution, leading to massive withdrawals from the platform.
Meanwhile, the concerns about the stablecoin reserves have seen it depeg against its rivals. BeInCrypto data showed that the stablecoin tanked 10% following the news to $0.90 as of press time.
Top crypto exchanges Binance and Coinbase said they would suspend USDC’s conversion, citing “market conditions.” Binance said the move was a “normal risk-management procedural step to take.” Coinbase also suspended the stablecoin’s conversion over the weekend. The U.S.-based exchange plans to recommence the conversion on Monday when banks open.
Source https://beincrypto.com/usdc-market-cap-6b-circle-exposure-silicon-valley-bank/
Also, there are reports that there are billions of venture capital funds that cannot be withdrawn from Silicon Valley bank because of the bank run. The crypto related funds are owned by a16z cryptoventures, Pantera and Paradigm. They have invested billions in different projects in the cryptospace.
Source https://mobile.twitter.com/wublockchain/status/1634473009061953536
News update on Tether.
It appears a judge has ordered Tether to prove the backing of USDT. I am not certain how they are going to prove this because as we have speculated before, Tether has fractionalized already. This might have begun during 2019 when Tether's market capitalization started increasing with a higher rate.
Despite entailing the title of the “world’s largest stablecoin” Tether [USDT] continues to drown in troubled waters. The network was slapped with a lawsuit for issuing USDT in order to pump the price of Bitcoin BTC. This market manipulation lawsuit has been going on for quite some time now and has taken another turn. This time, it wasn’t in favor of the stablecoin.
It was brought to light that a U.S. Judge in New York dismissed Tether’s motion that blocked the release of its financial records. Therefore, the network now has to produce an array of documents pertaining to the backing of USDT. This list includes, “general ledgers, balance sheets, income statements, cash-flow statements, and profit and loss statements.” In addition to this, the stablecoin firm has to present records of any transfers of crypto or other stablecoins. Minor details like the time of the transaction were also demanded.
Source https://watcher.guru/news/tether-legal-woes-prolong-financial-records-demanded
It appears a judge has ordered Tether to prove the backing of USDT. I am not certain how they are going to prove this because as we have speculated before, Tether has fractionalized already. This might have begun during 2019 when Tether's market capitalization started increasing with a higher rate.
Despite entailing the title of the “world’s largest stablecoin” Tether [USDT] continues to drown in troubled waters. The network was slapped with a lawsuit for issuing USDT in order to pump the price of Bitcoin BTC. This market manipulation lawsuit has been going on for quite some time now and has taken another turn. This time, it wasn’t in favor of the stablecoin.
It was brought to light that a U.S. Judge in New York dismissed Tether’s motion that blocked the release of its financial records. Therefore, the network now has to produce an array of documents pertaining to the backing of USDT. This list includes, “general ledgers, balance sheets, income statements, cash-flow statements, and profit and loss statements.” In addition to this, the stablecoin firm has to present records of any transfers of crypto or other stablecoins. Minor details like the time of the transaction were also demanded.
Source https://watcher.guru/news/tether-legal-woes-prolong-financial-records-demanded
What we have been speculating is beginning. A strictly regulated stablecoin market might give the regulators the power on how much goes in the cryptospace. If cashflow going in is short, there will not be enough liquidity, not enough expansion. It appears we also need to bring back the state of the cryptospace as it was before 2017 when much of the most lquid markets were traded and valued in bitcoin.
Draft legislation to create a U.S. federal framework around stablecoins would temporarily ban the types of payment coins that are not backed by outside assets — similar to TerraUSD, an algorithmic stablecoin that collapsed earlier this year.
Nonbank issuers of stablecoins backed by fiat currency would also be overseen by state banking regulators and the Federal Reserve, according to a source familiar with discussions and draft text obtained by The Block.
Banks or credit unions could issue their own stablecoins, which would be overseen by the Office of the Comptroller of the Currency and the Federal Deposit Insurance Corp., both of which serve as federal bank regulators in the United States.
Source https://www.theblock.co/post/171565/draft-stablecoin-bill-in-congress-to-require-fed-state-regulator-approval
Draft legislation to create a U.S. federal framework around stablecoins would temporarily ban the types of payment coins that are not backed by outside assets — similar to TerraUSD, an algorithmic stablecoin that collapsed earlier this year.
Nonbank issuers of stablecoins backed by fiat currency would also be overseen by state banking regulators and the Federal Reserve, according to a source familiar with discussions and draft text obtained by The Block.
Banks or credit unions could issue their own stablecoins, which would be overseen by the Office of the Comptroller of the Currency and the Federal Deposit Insurance Corp., both of which serve as federal bank regulators in the United States.
Source https://www.theblock.co/post/171565/draft-stablecoin-bill-in-congress-to-require-fed-state-regulator-approval
The alarm has gone off, will Bitcoin really fall at the end of this month? and Big short? or Short Squeze?,
I'm still monitoring it myself and haven't bought it yet, because the increased volatility makes me confused.
I'm still monitoring it myself and haven't bought it yet, because the increased volatility makes me confused.
today is the weekend, of course a big short could happen,
moreover the price of bitcoin is still at $20k meaning if it breaks at $20k the price of bitcoin will drop to $18k,
yes its a big SHORT time!
moreover the price of bitcoin is still at $20k meaning if it breaks at $20k the price of bitcoin will drop to $18k,
yes its a big SHORT time!
@estenity. It would not be a good idea for who? The regulators or the investors in the cryptospace? It is certainly very clear that in this bear market more strict regulations on stablecoins are coming and this might affect the stength and how powerful the next bull market will be. However, I speculate the stablecoin issuers might also fractionalize and print more out of thin air hehehehe.
regulators must do their task, they are paid for that;
what i mean is that from their decisions the notion of stablecoins will probably change, it was a misconception from the beginning to mimick fiat systems.
@estenity. It would not be a good idea for who? The regulators or the investors in the cryptospace? It is certainly very clear that in this bear market more strict regulations on stablecoins are coming and this might affect the stength and how powerful the next bull market will be. However, I speculate the stablecoin issuers might also fractionalize and print more out of thin air hehehehe.
First the regulators block them then they control them. Similar to what I have been telling everyone, the regulators will use the stablecoin issuers to control the cashflow and liquidity of what and how much goes in and goes out of the whole cryptospace market. I am not antagonizing everyone. I reckon if America also creates the same legislation and implements this with the European Union, I speculate the next bull market might not be as strong as the crypto bull markets we have witnessed during 2017 and 2020.
Dollar-pegged stablecoins might be blocked in the European Union’s 27 countries if the bloc’s new Markets in Crypto-Assets (MiCA) legislation enters into force in its current form.
The European Union’s landmark crypto law has already been approved but technicalities still have to be ironed out.
Blockchain for Europe and the Digital Euro Association this weekend sent a letter to the EU Council, a collegiate body formed by EU member states, in a bid to reverse controversial rules which would effectively quash any large stablecoin projects tied to anything but the euro.
The crypto industry says MiCA imposes restrictions on the issuance and use of stablecoins which aren’t denominated in euros or other official currency of an EU Member State.
This would possibly ban Tether’s USDT, Circle’s USD coin and Binance’s binance USD, which account for an enormous chunk of crypto trade volumes globally.
Source https://blockworks.co/eu-crypto-lobby-fights-mica-limits-on-us-dollar-stablecoins/
Dollar-pegged stablecoins might be blocked in the European Union’s 27 countries if the bloc’s new Markets in Crypto-Assets (MiCA) legislation enters into force in its current form.
The European Union’s landmark crypto law has already been approved but technicalities still have to be ironed out.
Blockchain for Europe and the Digital Euro Association this weekend sent a letter to the EU Council, a collegiate body formed by EU member states, in a bid to reverse controversial rules which would effectively quash any large stablecoin projects tied to anything but the euro.
The crypto industry says MiCA imposes restrictions on the issuance and use of stablecoins which aren’t denominated in euros or other official currency of an EU Member State.
This would possibly ban Tether’s USDT, Circle’s USD coin and Binance’s binance USD, which account for an enormous chunk of crypto trade volumes globally.
Source https://blockworks.co/eu-crypto-lobby-fights-mica-limits-on-us-dollar-stablecoins/
probably not a good idea; in this case, stablecoins independent of fiat standards will appear. This would allow limited number of coins, rarity effect and FOMO.
after all, it was a basic idea for crypto innovation.
the genius has definitely escaped the bottle.
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