This is so much deeper than FTX. Tether is what is called stablecoin. Ostensibly there is one Tether coin created for each USD invested in the company. Tether is used as the basis of the entire crypto world. It keeps the wheels greased.
You now who loves tether? Isis and the drug cartels.
But its even deeper than that.
For this reason, crypto experts tell Revolver that βtrue-believersβ in crypto often turn a blind eye to the dark and damning questions surrounding Tether due to the implications this would have on the entire crypto project.
One crypto veteran we spoke to described the Tether situation in rather vivid terms.
βI have a soft spot for thinking kindly of crypto-libertarians, but they all go Ponzi Mindset when it comes to Tether,β he said. βIn order to be congruent and confident in the future they need to believe Tether isnβt a burning bag of shit overlayed on top of a flaming diarrhetic volcano. Everything that in retrospect looks super shady and how-did-they-get-away-with-it-for-so-long for FTX is WNBA-tier compared to the 1994-Olympics Dream Team of Schemes that is Tether.β>
Ive always been suspicious of crypto. How is something with no inherent value created out of thin air? Miners? Pfft, when there is no oversight, criminality is the order of the day. I think crypto is a cabal financing and laundering op and a way to get people accustomed to digital currencies and it looks like it is being proven to be one. Im not a big finance guy but if I had money in crypto Id take it out. The entire thing is a ponzi scheme about to collapse.
Worst case? If crypto even survives people will be buying bitcoin for pennies on a thousand.
Not only is there no inherent value to crypto, but itβs difficult to transact in. Being tied into an unknown digital system with no hard assets is the last thing Iβd want in an economic (and possibly societal) crash... which is coming.
Also, the Earth uses the equivalent power that Norway does every day to mine bitcoin. Does anyone know what all this computational horsepower is doing? It feels like weβre collectively hosting a bunch of black op Calculations and research.
Let me explain this "no inherent value" idea as it applies to crypto. First of all "Bitcoin" and "crypto" are different things. You can talk all day about most cryptos (not all) being conjured out of thin air, and they are. But Bitcoin actually requires work to be put in by someone for it to keep running, and has a limited supply of 21 million coins. No one has complete authority over the network, therefore no one can change the supply cap or inflation parameters, or produce new coins arbitrarily. We know exactly how many bitcoins exist now, and at any particular time, past, present, or future. The rate of coin issuance is preprogrammed and deflationary over the long run. It is impossible to forge, edit, reverse, or delete transactions. It is impossible for anyone to freeze or seize another person's wallet (not considering social engineering).
Why would a central bank invent something like Bitcoin? They wouldn't. If the whole world ran on Bitcoin, there could be no Fed. It destroys all of their scams. But something happened in 2017 and the years leading up to it. The Bitcoin community was infiltrated and the industry captured by scam artists led by people promoting other coins which lacked the robust fundamentals of Bitcoin. They told people it was all about getting rich and driving Lambos. This is what led to the rise of "shitcoins" and the centralized exchanges that facilitate them.
On the point about energy consumption, there has been some discussion about using the computational power of the Bitcoin miners to act as a sort of public cloud supercomputer. Bitcoin can already do this, but the feature was disabled years ago (along with many other things), presumably due to the fact that the Bitcoin core developers were pressured by external forces who favor the status quo and do not want Bitcoin to succeed.
The fact that bitcoin is limited to 21M and took effort to build out is irrelevant to the fact that it has no inherent value. Itβs not a slight against bitcoin, itβs the reality. The same applies to the USD and the shitcoins.
Secondly, I donβt think the Fed created it, and while bitcoin could help destroy the Fed, there are other resources better suited to doing that in my opinion.
This is so much deeper than FTX. Tether is what is called stablecoin. Ostensibly there is one Tether coin created for each USD invested in the company. Tether is used as the basis of the entire crypto world. It keeps the wheels greased.
You now who loves tether? Isis and the drug cartels.
But its even deeper than that.
Revolver does a deep dive:
https://www.revolver.news/2022/11/sam-bankman-fried-ftx-on-steroids-is-cryptocurrency-tether-joe-biden-crypto-bcci/
Ive always been suspicious of crypto. How is something with no inherent value created out of thin air? Miners? Pfft, when there is no oversight, criminality is the order of the day. I think crypto is a cabal financing and laundering op and a way to get people accustomed to digital currencies and it looks like it is being proven to be one. Im not a big finance guy but if I had money in crypto Id take it out. The entire thing is a ponzi scheme about to collapse.
Worst case? If crypto even survives people will be buying bitcoin for pennies on a thousand.
Not only is there no inherent value to crypto, but itβs difficult to transact in. Being tied into an unknown digital system with no hard assets is the last thing Iβd want in an economic (and possibly societal) crash... which is coming.
Also, the Earth uses the equivalent power that Norway does every day to mine bitcoin. Does anyone know what all this computational horsepower is doing? It feels like weβre collectively hosting a bunch of black op Calculations and research.
Let me explain this "no inherent value" idea as it applies to crypto. First of all "Bitcoin" and "crypto" are different things. You can talk all day about most cryptos (not all) being conjured out of thin air, and they are. But Bitcoin actually requires work to be put in by someone for it to keep running, and has a limited supply of 21 million coins. No one has complete authority over the network, therefore no one can change the supply cap or inflation parameters, or produce new coins arbitrarily. We know exactly how many bitcoins exist now, and at any particular time, past, present, or future. The rate of coin issuance is preprogrammed and deflationary over the long run. It is impossible to forge, edit, reverse, or delete transactions. It is impossible for anyone to freeze or seize another person's wallet (not considering social engineering).
Why would a central bank invent something like Bitcoin? They wouldn't. If the whole world ran on Bitcoin, there could be no Fed. It destroys all of their scams. But something happened in 2017 and the years leading up to it. The Bitcoin community was infiltrated and the industry captured by scam artists led by people promoting other coins which lacked the robust fundamentals of Bitcoin. They told people it was all about getting rich and driving Lambos. This is what led to the rise of "shitcoins" and the centralized exchanges that facilitate them.
On the point about energy consumption, there has been some discussion about using the computational power of the Bitcoin miners to act as a sort of public cloud supercomputer. Bitcoin can already do this, but the feature was disabled years ago (along with many other things), presumably due to the fact that the Bitcoin core developers were pressured by external forces who favor the status quo and do not want Bitcoin to succeed.
The fact that bitcoin is limited to 21M and took effort to build out is irrelevant to the fact that it has no inherent value. Itβs not a slight against bitcoin, itβs the reality. The same applies to the USD and the shitcoins.
Secondly, I donβt think the Fed created it, and while bitcoin could help destroy the Fed, there are other resources better suited to doing that in my opinion.