This is a little more interconnected than Bitconnect was (ironically) for a number of reasons, so that's my major concern related to it. However, it would be a positive event overall as it would at least make the space healthier.
RE: The MASSIVE Tether Ticking Time BOMB
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The MASSIVE Tether Ticking Time BOMB
Actually, I take back what I said. I've started reading more on possible effects and the total amount of USDT transactions is 70% of USD transactions (roughly by taking a quick look at total BTC transactions). If we had a big sell off with 2 billion in BTC to USD transactions and DIDN'T have tether we would increase the USD transactions by 70% more. This would make the lows WAY LOWER. There is only so much cash money sitting on GDAX, Coinbase and gemini accounts. We can't wire money in on weekends. There are ACH limits each day. Where would the extra 1.4 billion come in to support the sell of? What happens to transaction times if all those tether transactions leave the exchanges and move to gemini coinbase etc...
A crash of tether would be detrimental downward spiral. Tether pumps the highs higher and dampens the lows lower.
Thoughts?
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