In this amount of time, their entire BTC holdings might already cover all the USD that is outstanding! LOL... You're not wrong about the commercial paper, I give you that. I too remember reading that none of the big players ever came across their trades crossing with Tether. And so I think its legitimate to now hold any large sums in USDT. But here is the thing. Everyone now know not to hold more than 250k in any bank account since it isn't insured. So even having money in the bank that you think is your isn't safe. I don't like Tether simply from the reason that its centralized and addresses can be frozen at any time. This is a huge benefit to the government, so you keep overlooking this aspect. You assume market forces will bring Tether down, but there is an even bigger player holding it up. They already passed a $10B withdrawl, so what else do you want? Lastly, if there is any hint of trouble with USDT, your assumption that BTC goes down is flawed in my opinion. This money will not flow into USD... it will flow into Bitcoin. Everyone will be running for the exits because bitcoin addresses cannot be frozen. Imagine being right about the demise of Tether, but being completely wrong about the price impact to Bitcoin. You can't deposit your USDT in a bank account and get cash, but you can move USDT to most exchanges and buy BTC. Maybe some people will cash out into fiat, but I can see this pumping bitcoin, not dumping it.
An audit. A real financial audit by a top 50 or so auditor. That's not some weird exotic unreasonable request. That's basic "how not to get screwed 101." Audited financial statements are not a guarantee, but it at least gives you a starting point. You still need to apply the "does anything in here look totally out of whack vs their competitors?" test. That helps one dodge the next Crazy Eddies/Madoff scam.
When will US audit the gold? But nobody questions it but it just goes on. They also don't audit the Pentagon, even though they keep losing money. If you want a full audit, buy Bitcoin.
Well so much for the fiat hedge. Down >7% at the low. How many -corr arguments have been made on here?
Deflection much? Provably false statement. You been living under a rock? Ever hear of Ron Paul? http://www.ronpaulforums.com/showth...uced-a-bill-to-audit-all-gold-owned-by-the-US Actually they do. They do audits all the time. You're not doing very good with facts here. https://www.defense.gov/Spotlights/DOD-Audit/ Where do you get your news exactly? No need for audit with Bitcoin because it's backed by no assets! Instead of wondering about whether USDT actually has 100 billion in treasuries to back them up, you can buy Bitcoin and be sure it's backed by nothing!
I call this a feature, not a bug. Anything that is backed by something else creates even more risk because that backing isn't under your control.
Let me expand on this just a little bit. Money doesn't need any backing because its just an idea, its a ledger, a way to keep track of value. If you back it with something, you introduce extra variables, and especially counter party risks. If you back money with gold, now you have to wonder where is the gold, who has it, how much of it there is, etc. Backing USD with the military... is that really wise? Do we want wars to start just so that someone can prove the currency is good? The best money is just a social construct that everyone learns has the best properties to serve their needs. I consider money that is outside of government control to be much better money than one a government can control. Sure it sounds nice at first that the government can "help" out in times of crisis, but this power is always abused... ie. money printing. When a replacement comes out, such as bitcoin, that is proven to be uncorruptable, who isn't going to want to go for that? Everyone will learn one day that the best form of money is one that nobody can control. I'm honestly shocked more haven't figured it out yet, but oh well, everyone will eventually.
Speaking of auditing:- (TheDailyUpside) FINANCE US Regulator Finds ‘Unacceptable’ Deficiency Rates At Audit Firms Quis custodiet ipsos custodes; who watches the watchmen? In the US audit industry, that would be the Public Company Accounting Oversight Board. And it does not like what it sees. The PCAOB called out an “unacceptable” level of deficiencies at the country’s biggest auditors alongside the release of its latest inspection results Thursday. Bad Audit-tude The audit profession was one of those most adversely impacted by COVID-19, and it has yet to recover. As income declined, so too did performance. A mass exodus of auditors, often overworked and underpaid, didn’t help: Some 300,000 US accountants left their jobs between 2019 to 2021, according to Bureau of Labor Statistics data. There aren’t enough people entering the field to bridge the gap, and given the essential role number-crunching plays in the markets, commentators have gone so far as to suggest the industry woes threaten capitalism itself. The PCAOB, which has the power to review the audit of any US-listed company, performed 287 checks of audits carried out by the six largest firms in the country, as well as a smattering of inspections of smaller auditors’ work. The findings showed an industry still reeling from the unusual world that was the early 2020s: PCAOB found deficiencies in 46% of audits last year, up from 40% in 2022. Deficiencies occur when an auditor fails to collect enough evidence to support part or all of their conclusion. Among the six largest firms, 86% of audits carried out by BDO were found to contain deficiencies, as well as 54% of audits at Grant Thornton. The so-called Big Four Auditors fared better, with 38% of audits carried out at Ernst & Young containing deficiencies, 26% at KPMG, 21% at Deloitte, and 18% at PwC — though only EY and KPMG’s rates fell. No Pajamas: “While there is no single reason for the aggregate increase in deficiencies, it’s clear the Covid pandemic influenced audit quality,” the organization — not a government agency, but a nonprofit whose rules are approved by the SEC — said. One thing that the PCAOB said has helped improve audit quality is requiring staff to show up to the office, at least for part of the week. Written by Sean Craig