OKEx added FOUR new stablecoins yesterday (October 15th, 2018) – another sign Tether is doomed
In yet another omen that the scam that is Tether is going to be going bye-bye, the third largest cryptocurrency exchange, OKEx, added four new stable coins to their exchange.
This is a big deal folks. The monopoly money printing machine that is Tether is going to be going away soon. Tether really is the Venezuelan Bolivar of cryptocurrencies. We don’t know how much Tether is in circulation and/or how much is still unreleased. No reputable audit has been done on Tether. And, probably the most important: Tether doesn’t give you the right to anything – it’s worthless as a stablecoin. It’s not even a real stablecoin if you think about it. Paxos Standard Token (PAX) and TrueUSD (TUSD) actually give you a right to a dollar. You own 300 PAX? You own 300 US Dollars. It’s a 1:1 token – with real accounting and US regulation behind it. Not like Tether.
Honestly, if you have to headquarter your financial businesses in the Caribbean, odds are you’re not up to snuff anyway.
But Tether is definitely going away, and soon. Let’s review some of those reasons again:
- A top 20 (by volume) exchange, Digifinex, delisted Tether on September 15th, citing trust issues.
- Increased number of competing stable-coins that are backed by fiat in as stringent a way as TrueUSD is – with the same right to the actual fiat as the stable coin represents.
- This is perhaps the most telling: The third largest cryptocurrency exchange, OKEX, announced on October 15th that they added four new stablecoins to their platform: TrueUSD (TUSD), USD Coin (USDC, this is Circle’s stablecoin), Gemini Dollar (GUSD, this is the Gemini exchange/Winklevoss twins stablecoin) and Paxos Standard Token (PAX).
- Paxos (PAX) has been added to 20 various cryptocurrency exchanges and OTC desks. More importantly, 6 of the 10 biggest cryptocurrency exchanges have added PAX in the month since PAX launched (as of October 15th). Those exchanges are Binance, OKEx, Gate.io, ZB, KuCoin, and Digifinex.
- And just yesterday, Binance had to stop withdrawals of Tether due to many withdrawal requests, they have since allowed withdrawals again.
Notice the divergence here?
Just look at this weirdness. Honestly, I think a whole slew of the major exchanges are ‘quietly’ abandoning Tether here. Hopefully, their communicating together to prevent any one single exchange going poof due to one major exchange (like Binance) announcing Tether being removed. The OKEx addition of four stable coins makes sense to me – exchanges probably feel the need to provide an alternative to USDT in the even of some major FUD event like… Tether going defunct. But you’d need a lot of it – at least as much as you have USDT. For example, let’s say OKEx has around $200 million USDT. OKEx can’t get $200 million worth of TrueUSD (TUSD) to replace that monopoly money of USDT. They could probably get, for example, $50 million of TrueUSD. Get $50 million GUSD, $50 million USDC, and $50 million PAX then you have enough real stablecoins to replace that funny-money USDT. Not every cryptocurrency trader can move into dollars on Gemini, or Kraken or Coinbase – and they don’t want to sit in Bitcoin during FUD moments. But they could rest comfortably and safely in say, TUSD.