For the first time, Tether holders are actually redeeming Tether for actual $$$. Tether has fallen 9% in market cap over the last 4 days. $6.5 billion dollars have been pulled out in a controlled way, in fractions every 12-24 hours. The question is when Tether runs out of actual $$$. If it is after like ~$20 billion withdrawn, we are looking at losses of ~$50 billion. And it could take Bitcoin with it.

[edit] $8 billion down now.

  • Lovely_sombrero [he/him]
    ·
    3 years ago

    I just gave it as an example. According to Tether, they hold 3% of total Tether value in direct cash, so around $2.5 billion, so they will probably run out of reserves even sooner. My guess is that Tether is right now burning some of its own Tether reserves in order to maintain the peg to $. It is all so very fake.