Last month was a crypto rollercoaster. Bill Gates said crypto is based on greater fool theory. The market has lost more than $1 trillion dollars since November, and there are still signs of further damage, including Celsius’ pause on withdrawals. The wild west of finance is clearly suffering, and the whiplash pace of recent headlines […]
LUNA2 may have bottomed in June but who just who is buying this controversial token?
The crypto ecosystem is still dealing with the fallout caused by the collapse of the Terra ecosystem, the company behind stablecoin USDT, Tether, is being targeted by hedge funds. Confirmed by Paolo Ardoino, CTO at Tether and crypto exchange Bitfinex, via his Twitter account. Related Reading | Cardano Formed This Pattern On Its Chart, Where Is The Coin Headed? According to the rumors, hedge funds have been opening short positions on Tether (USDT) and have been actively seeking to create panic in the crypto industry to affect the stablecoin. Peg 1:1 to the value of the U.S. dollar, these entities might be trying to replicate the events that crash LUNA and UST. These digital assets were at the epicenter of the Terra ecosystem, the latter operated as an algorithmic stablecoin pegged to the U.S. dollars until it crashed losing over 90% of its value. According to Ardoino, hedge funds might try to profit by creating the conditions for a similar crash with USDT: I have been open about the attempts from some hedge funds that were trying to cause further panic on the market after TERRA/LUNA collapse. It really seemed from the beginning a coordinated attack, with a new wave of FUD, troll armies, clowns etc. The outcome would be different, as Tether’s CTO explained, these hedge funds would allegedly try to trigger a massive capital outflow from the stablecoin and destabilize its price. Ultimately, if the price of USDT drops, the short players would “buy back tokens at a much lower price”. These entities, Ardoino said, have been allegedly spreading Fear, Uncertainty, and Doubt (FUD) on the stablecoin, such as the rumors that claim Tether is not 100% backed by real assets, and that it was exposed to fail investments. The Tether CTO denied once again denied the rumors: Tether had/has in fact >= 100% of the backing, never failed a redemption and all USDt are redeemed at 1$. In 48 hours Tether processed 7B in redemptions, averaging 10% of our total assets, something almost impossible even for banking institutions. Can Tether Follow LUNA/UST And Lose Its Pegged? In that sense, Ardoino put into question the “billions” in short positions taken by these hedge funds. The executive claims USDT is a battle-tested stablecoin that has outlasted several crypto bear markets, and even companies considered “the holy heroes of our industry”. As Bitcoin and the crypto market trend to the downside, Tether’s (USDT) total market capitalization saw an almost 20% drop. However, the stablecoin operates with a very different mechanism than that of Terra’s LUNA-UST and seems unlikely to follow the same path. USDT has always caused controversy in space, but it has operated for almost a decade. The company behind the stablecoin has been improving on its government contacts, its transparency, and adding more assets to back USDT. Related Reading | TA: Bitcoin Dips Could Be Limited, Why 100 SMA Is The Key As a pseudonym analyst said on Twitter, this doesn’t mean the stablecoin could never fail, but it does seem to suggest the “FUD on USDT seems overrated”. The majority of Tether clients (based on USDT issuance amount) are well-known market makers and trading firms such as @AlamedaResearch, @CumberlandSays, @jump_, etc. 89.5% of total USDT issuance was sent to market makers of Big CEX such as Binance, FTX, OKX, Bitfinex, etc. pic.twitter.com/qQ4DHAIfuF — alphanonce Intern (@alphanonceStaff) June 22, 2022
The Digital Diaspora, an event hosted at Samsung 837 during the week of NFT.NYC, beamed a spotlight on some of the most prominent Black artists within the NFT space.
Tough pill for a lot of people to swallow. This forum seems to have a cult like mentality that discourages taking profits. Most times when a rational post is made here, people respond with you don’t understand crypto or fud. I saw a post where someone was bragging about being a full coiner and his…
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submitted by /u/smoothcrimi [link] [comments]
With today's announcement of more earn rate cuts to stablecoins this will be the 4th earn cut in just 3 months when they announced their first one back in March. Also for the first time they actually completely removed earning any apy on a dozen or so cryptos. All this as usual is effective immediately…
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submitted by /u/brbinsky [link] [comments]
On June 10th, 2022 I received the following message on discord and was told that I had won 0.359 BTC. But wait, I didn't just win 0.359 btc but I also won a bonus prize. so like any curious and desperate crypto investor would do, I fired up and old laptop that's been collecting dust…
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DOGE was trading higher on Monday, as prices rose to their highest level in almost 20 days. TRX was also in the green to start the week, as prices continued to climb, following a recent streak of bullish momentum. Dogecoin (DOGE) DOGE was a notable mover during today’s session, as prices rose to their highest […]
