Someone Just Sold 1.19 Million Tether At Once on KrakensteemCreated with Sketch.

in bitcoin •  7 years ago  (edited)

Not saying this is the definitive de-pegging, just getting very nervous watching this unfold. Watch USDT/USD for yourself live here -> https://trade.kraken.com/kraken/usdtusd/15m

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Is anyone familiar with alternative stable coins to use instead?

none which have the same level of liquidity as tether unfortunately... i should do a post on stablecoins at some point... in the meantime here's a good link going over the basics of the space https://multicoin.capital/2018/01/17/an-overview-of-stablecoins/

Is this sell a good thing or a bad thing? Should one alarm or having raised a red flag? I'm not sure how to interpret or appreciate this post in lack of more technical information. I'd appreciate if you'd like to clarify me. Thanks

This is concerning for a number of reasons. It could be temporary of course, but if tether were to significantly drop below 1 we would start to see a price premium develop (like we are now) between "tether" exchanges like poloniex and "fiat" exchanges like gdax.

the worry here is that tether's supply has increased more than 5 fold over the last 3 months, and people are starting to wonder if these tokens are really backed 1-1 by dollars. For a good article and discussion of the topic check out this thread on hackernews: https://news.ycombinator.com/item?id=16252365