The Close Ties Between Tether and Bitfinex: Should You Be Concerned?

On March 21, Tether issued another 300 million USDT. What’s the big deal, you may ask? If you want a stablecoin, Tether’s value tends to hover around $1, making it useful for moving money between exchanges without touching the banks.

In fact, that’s what a lot of traders do. However, the value of Tether becomes a concern when you consider the fact that Tether is very vulnerable to investigations, has ties to Bitfinex that may be a little too close to comfort, and may not survive an effective bank run in which several large bagholders attempt to exchange their USDT for fiat all at once.

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