USDT Prices Are Getting Higher | Bitcointalksearch.org

cheezcarls

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Quote from: Apatu Ek Am on July 22, 2022, 12:20:42 AM

5 days ago I read that one of the posts on twiiter USDT is temporarily down https://twitter.com/paoloardoino/status/1538155542643888128 and are there other factors that make usdt stronger?

Inflation is the reason as it is almost pegged to the value of the US dollar. Same thing to other stablecoins like BUSD, USDC, DAI, etc. However, I wouldn't recommend holding much USDT because there are recent events that it was de-pegged that we've seen it go down to as much as $0.95 before climbing right now to $0.999 to $1.00. BUSD and USDC are much better for me in my opinion.

I've just recently converted all of my remaining USDT to fiat via Binance P2P and I mostly have BUSD as stablecoin.

Mame89

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after I found out about the problematic USDT I no longer use it as long term storage. except for coins that have an exchange with USDT. the fact that I know from the crypto news side As is well known, a coin that is known to be stable like USDT has a value that refers to the US dollar. Tether claims that USDT itself is fully backed by fiat like the dollar and euro. it turned out that after the Regulator had investigated Tether results for 26 months from 2016 to 2018. The regulator managed to reveal that Tether only had reserves to support USDT of 27.6% on the day of the inspection and did not audit what the audit promised every day.

passwordnow

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Quote from: tbterryboy on July 26, 2022, 01:49:21 PM

Quote from: passwordnow on July 26, 2022, 04:05:29 AM

There's a meeting that's happening right now and there will be for tomorrow too. Everyone is expecting that there's another effect on it the price of USDT and that's why those that have been holding stablecoins are still holding it because whatever the outcome of that meeting, surely will affect the price of it. Well, there's the effect on USDT because we are all aware of where it is relying and that's why when FED results in a positive meeting, the price of USD will be increasing again and so does the USDT.

That was still a meeting and they haven't taken any action yet but don't tell me that you think of it as one of the reasons on why tether is getting stronger? Hhmm. Even if usdt is a stable coin it is still possible for their prices to get affected although the effect won't be too much same with what we are seeing in normal volatile cryptos, so there is no need to worry about and they can also return to a dollar or more within a short period of time.

If someone is worried and scared about the outcome of the meeting then why will they still hodl their stable coin? They can always dispose it now that they still have a chance. There are some that still holds but that is because they are safeguarding their crypto profits and then maybe buy some cryptos once the price starts dipping again.

Just look at the market now, it seems that the talks during the fed meeting resulted in a positive one as what we can see with the market. The raise in interest rate to 0.75% has made the market green again. And for bitcoin from $21k back to $22k and is closing into $23k once again.
The market reacts positively so basically, the fed's meeting of misreading the inflation got every retailer into having a good and positive thought towards the market and many bought.

Xal0lex

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Quote from: cryptomaniac_xxx on July 22, 2022, 06:59:19 PM

Quote from: Xal0lex on July 22, 2022, 05:54:14 PM

I have an assumption that the era of USDT leadership is coming to an end. USDC is steadily reclaiming the market and the gap between the capitalization of these two assets has recently narrowed a lot, now about 11 billion. Most likely, investors saw some concerns about losing peg to the USD and started pouring liquidity into USDC in droves. USDT has not always been smooth with collateral, because judging by their audits, the collateral there was not fiat, but more in securities.

Thanks for this info, I haven't followed USDC though, as I put some of my assets in USDT right now so obviously, I'm more concern about this news. But as others have pointed out, this is DDOS attack and not on their reserves dwindling down or something.

What kind of DDOS attack are you talking about? May events this year well demonstrated how USDT lost its peg and this alerted many investors. USDC quickly took advantage of the situation and published an audit where the collateralization of securities reserves is much lower than USDT. Most likely, this influenced investors and they began to pour liquidity into USDC.

tbterryboy

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Quote from: passwordnow on July 26, 2022, 04:05:29 AM

There's a meeting that's happening right now and there will be for tomorrow too. Everyone is expecting that there's another effect on it the price of USDT and that's why those that have been holding stablecoins are still holding it because whatever the outcome of that meeting, surely will affect the price of it. Well, there's the effect on USDT because we are all aware of where it is relying and that's why when FED results in a positive meeting, the price of USD will be increasing again and so does the USDT.

That was still a meeting and they haven't taken any action yet but don't tell me that you think of it as one of the reasons on why tether is getting stronger? Hhmm. Even if usdt is a stable coin it is still possible for their prices to get affected although the effect won't be too much same with what we are seeing in normal volatile cryptos, so there is no need to worry about and they can also return to a dollar or more within a short period of time.

If someone is worried and scared about the outcome of the meeting then why will they still hodl their stable coin? They can always dispose it now that they still have a chance. There are some that still holds but that is because they are safeguarding their crypto profits and then maybe buy some cryptos once the price starts dipping again.

RealMalatesta

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Quote from: Jackl87 on July 26, 2022, 04:44:15 AM

Quote from: Apatu Ek Am on July 22, 2022, 12:20:42 AM

5 days ago I read that one of the posts on twiiter USDT is temporarily down https://twitter.com/paoloardoino/status/1538155542643888128 and are there other factors that make usdt stronger?

I am not 100% sure how the mechanism behind USDT works but in general stablecoins are operating in a way that is trying to make sure that the price of one USDT is always at exactly 1USD. This means that the company behind USDT is minting new USDT when the demand is high and the price of one USDT is starting to become higher than 1 $ or they are burning USDT when the demand is low and the price would get lower than 1 $. This usually works pretty well when the market is realtively stable but when that big Terra Luna crash happened a few weeks or months ago the whole market was shaken and even a huge project like USDT cold not hold it's peg 100%.

The idea is that there is this company, and that company has printed USDT and sold it for USD and then when you want your USD back then they will get your USD and give it to you. It means that there is a company that gives you something that could be traveling the whole world for 10 cents even if you send 1 billion dollars, meanwhile keeping the "real" money in their bank account.

This means that we are talking about the money staying in a vault until someone needs the actual cash, until then it could travel the world 100 times without spending a dollar on it. If we kept using USD instead of USDT then we would have spent billions on it and that’s how it works. All based on people trusting Tether company.

Jackl87

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Quote from: Apatu Ek Am on July 22, 2022, 12:20:42 AM

5 days ago I read that one of the posts on twiiter USDT is temporarily down https://twitter.com/paoloardoino/status/1538155542643888128 and are there other factors that make usdt stronger?

I am not 100% sure how the mechanism behind USDT works but in general stablecoins are operating in a way that is trying to make sure that the price of one USDT is always at exactly 1USD. This means that the company behind USDT is minting new USDT when the demand is high and the price of one USDT is starting to become higher than 1 $ or they are burning USDT when the demand is low and the price would get lower than 1 $. This usually works pretty well when the market is realtively stable but when that big Terra Luna crash happened a few weeks or months ago the whole market was shaken and even a huge project like USDT cold not hold it's peg 100%.

passwordnow

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There's a meeting that's happening right now and there will be for tomorrow too. Everyone is expecting that there's another effect on it the price of USDT and that's why those that have been holding stablecoins are still holding it because whatever the outcome of that meeting, surely will affect the price of it. Well, there's the effect on USDT because we are all aware of where it is relying and that's why when FED results in a positive meeting, the price of USD will be increasing again and so does the USDT.

icalical

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Quote from: Apatu Ek Am on July 22, 2022, 12:20:42 AM

5 days ago I read that one of the posts on twiiter USDT is temporarily down https://twitter.com/paoloardoino/status/1538155542643888128 and are there other factors that make usdt stronger?

Your post does not make sense, You said that the USDT is temporarly down, but you then ask "are there other factors that make usdt stronger?" seems like you means that the USDT down make it stronger, which is not.

And also USDT is stable coin, the price should not get higher than approximately 1 USD that's the main purpose of this coin.

antsam

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It's up and down isn't it normal? I think USDT's fundamentals are very good with the guarantee that the real money it currently has will be able to support it which will not be like UST which collapsed because from the start it did not have strong fundamentals. I think that my belief has been proven because to this day USDT is still standing strong

zasad@

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Quote from: cryptomaniac_xxx on July 22, 2022, 06:59:19 PM

Quote from: Xal0lex on July 22, 2022, 05:54:14 PM

I have an assumption that the era of USDT leadership is coming to an end. USDC is steadily reclaiming the market and the gap between the capitalization of these two assets has recently narrowed a lot, now about 11 billion. Most likely, investors saw some concerns about losing peg to the USD and started pouring liquidity into USDC in droves. USDT has not always been smooth with collateral, because judging by their audits, the collateral there was not fiat, but more in securities.

Thanks for this info, I haven't followed USDC though, as I put some of my assets in USDT right now so obviously, I'm more concern about this news. But as others have pointed out, this is DDOS attack and not on their reserves dwindling down or something.

And last time I check the price is still pegged as 1:1 so I'm will not be concern anymore. Yes, Bitifinex is shady as claim by some and says that they are running on fractional reserves only. But they have been in the market since 2017 or longer if I'm not mistaken, and so far no Luna like problem.

A DOS attack on a company website will not prevent you from moving your tokens.If you want to understand stablecoins, then read this information.
https://bitcointalksearch.org/topic/stablecoins-and-blacklists-5247581
USDC reserves are audited by renowned global auditors and reports are published every month.
Why don't USDT do the same?

raidarksword

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Yes, you are right usdt prices getting higher because of the inflation we are dealing right now and it's not a good news at all hence all prices rising up, commodities, gas and all necessities gone up. Lower class will have a big impact to these inflation because they will surely have a big adjustment of their budget to buy their needs.

killerfrost

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Quote from: Apatu Ek Am on July 22, 2022, 12:20:42 AM

5 days ago I read that one of the posts on twiiter USDT is temporarily down https://twitter.com/paoloardoino/status/1538155542643888128 and are there other factors that make usdt stronger?

Personally, I don't have many complaints about the stability it brings. At least for now, it still provides safety for holders. But with the title that OP mentioned here, I really feel there is no connection here. We can see the market in the past few months has suffered a lot of liquidations and collapses of big projects. It also partly affects the cause of stables losing their necessary stability. But don't take it too seriously as it still gives the means to trade in this market. USDT to me, they also have their own problems but have also proven over time that they're legit.

hyudien

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Quote from: Apatu Ek Am on July 22, 2022, 12:20:42 AM

5 days ago I read that one of the posts on twiiter USDT is temporarily down https://twitter.com/paoloardoino/status/1538155542643888128 and are there other factors that make usdt stronger?

In the title, you say USDT is getting higher but from the statement it says it is down temporarily. Do you know how USDT works and why it's at 1:1 with dollars? but not completely 100%. Instead of saving in USDT, I see an advantage on the much more stable USDC side. You can see him surviving after the LUNA case and showing who was behind this attack.

zonefloor

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There can be such ups and downs for usdt. It's not terribly scary for me. He usually takes sales as 1:1. We do not experience any loss of value. These are also financially supported assets. There may be insecurities in between and it is necessary not to ignore them. But in general, I don't think it will be a dangerous situation.

cryptomaniac_xxx

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Quote from: Xal0lex on July 22, 2022, 05:54:14 PM

I have an assumption that the era of USDT leadership is coming to an end. USDC is steadily reclaiming the market and the gap between the capitalization of these two assets has recently narrowed a lot, now about 11 billion. Most likely, investors saw some concerns about losing peg to the USD and started pouring liquidity into USDC in droves. USDT has not always been smooth with collateral, because judging by their audits, the collateral there was not fiat, but more in securities.

Thanks for this info, I haven't followed USDC though, as I put some of my assets in USDT right now so obviously, I'm more concern about this news. But as others have pointed out, this is DDOS attack and not on their reserves dwindling down or something.

And last time I check the price is still pegged as 1:1 so I'm will not be concern anymore. Yes, Bitifinex is shady as claim by some and says that they are running on fractional reserves only. But they have been in the market since 2017 or longer if I'm not mistaken, and so far no Luna like problem.

serjent05

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USDT is pegged to dollar 1:1 so it only means that USDT will always try to equal its value to 1 dollar and not exceeds it. A stronger dollar reserve means, a stronger foundation for USDT, and does not mean that USDT will exceed the intended price value which 1 USD.

Desmong

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Quote from: noorman0 on July 22, 2022, 01:40:03 AM

There are internal factors besides the built-in deflation of backed fiat. In the case of USDT, for example bitfinex managed to bring back the public's trust when they succeeded in a series of assurance and transparency audits the all of their asset reserves by the authorities.

However, this does not mean that USDT will be able to significantly exceed the price of the original reserve currency.

I have seen recently how the price of usdt is almost hitting one cent but the worth is still pegged to a dollar especially on exchange so that it will not alter the price. People are now gaining more trust in the project and the fact that they had really shown to us that the project is worth risking for. With the event that happened to Luna this had many many similar stable coins to step up their game.

Xal0lex

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I have an assumption that the era of USDT leadership is coming to an end. USDC is steadily reclaiming the market and the gap between the capitalization of these two assets has recently narrowed a lot, now about 11 billion. Most likely, investors saw some concerns about losing peg to the USD and started pouring liquidity into USDC in droves. USDT has not always been smooth with collateral, because judging by their audits, the collateral there was not fiat, but more in securities.

livingfree

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Quote from: Apatu Ek Am on July 22, 2022, 12:20:42 AM

are there other factors that make usdt stronger?

Well, it's pegged on the US dollars and that's why its price is getting high too. It's a global thing that the USD is getting stronger and it's even par with the Euro.

All of those things that are happening globally, oil shortage, food shortage, pandemic and everything. The price of USD that's becoming stronger means that they're becoming stronger on the global trade.

Topic: USDT Prices Are Getting Higher (Read 231 times)