USDT relationship with money ring

During this time, news of currency circle, currency prices also kept volatility, into the "winter" sideways long Bitcoin suddenly one day sudden outbreak in early April, the market price from about 4000 to pull in just one day at a time to the height of about 5,000, was cheered shouted winter finally past, Bitcoin recovery is at hand. It was also worried worried that this is just an episode in the winter.
Today saw this passage, this time a decade ago, Nakamoto published a paper online, introduces the concept of Bitcoin called "pure peer version of electronic cash" is. Until May 2010, software developers Laszlo Hanyecz 10,000 Bitcoin transaction with two pizzas, it was formally virtual currency as a way to buy real-world goods. A decade can make Bitcoin developed to this state, to be honest, Xiao Bian very much looking forward to the next decade, which will usher in a leap Bitcoin.
Let us look at the situation today Bitcoin, from today to see Bitcoin is still in shock period, this market may still expected to continue for some time, but you do not be too sad a small partner, the market, this building also experienced the end of a very long time, leading to want below it is not very easy, so the future may rise very large, so-called paid off, probably is the truth.
USDT is a magic coin, currency speculation it every couple of tickets, but also the money printing press circle, circle it was the old currency Bitcoin regarded as an aphrodisiac, can pull every bit of additional time currency prices.
Since August this year, USDT cumulative issuance of $ 415 million, but Bloomberg found that the impact of additional USDT on Bitcoin, Ethernet Square has been getting smaller and smaller, but the cottage currency impact of EOS, NEO and so on is growing.
Why is it so? USDT is how to "manipulate" the value of the currency? If your hands have USDT or hoarding USDT, I believe the following article will make you a deeper understanding of this circle currency "dollar printing press."
A, USDT fundamentals

TetherUS, USDT short, was founded in April 2014, is a Tether (TEDA) issued by the Company based on digital currency block chain, TEDA announced that each issue has a corresponding one USDT a dollar as a deposit, as long as it holds there USDT people can exchange for the same number of dollars in TEDA, TEDA only charge 5% commission, and vice versa.
Up to now, USDT issued 3 billion 20 million, the market capitalization ranks eighth daily trading volume after Bitcoin.
USDT is a digital currency, is not a real dollar, but why such a high market value? Why so many people are using it?
The main reason first, stable and easy to use, many people regarded it as a USD to use, convenient transaction, control positions; second, more than China, currently the world many countries have banned the use of digital currency directly convertible currency, as a stable currency and USDT originator became a novice in these countries currency speculation tickets.
Two, USDT those things you have to pay attention to the
earlier we know USDT has issued more than 30 one hundred million, and logically speaking, Tether bank account should have the same amount of dollars correspondence. After However, since April last year, the United States suspended its Wells Fargo bank account, now almost no one knows Tether dollar reserves account where, now account how many dollars.

Faced with this challenge, Tether has never been able to come up with convincing evidence that people clarified, that is now in circulation, and growing issuance of USDT is probably created by a group of Tether air. This is the first of its risk points.
The second risk points: Overlord Terms type of disclaimer. USDT when the release would indicate the risk that they might go bankrupt, bank accounts were frozen, even on foot, when such a situation arises, they are not obliged to reveal all the details for the user, honored.
Third, Tether Exchange Bitfinex team and core team is the same group of people. It can be said, almost Bitfinex control of the distribution rights Tether, and unregulated, it is difficult to ensure Bitfinex not take advantage of these easy money to manipulate the market.
Moreover, the research firm Chainalysis report pointed out that all USDT TEDA issuance is flowing directly into Bitfinex Exchange, and then through Bitfinex, about 80% of the USDT be transferred to six other exchanges: Bittrex, Poloniex, fire coin, OKEx , currency Ann Kraken.
Third, there may be manipulation USDT of
June this year, a study by the University of Texas in the United States spent a great length to prove, Tether is used to manipulate the price of digital currency, and last year Bitcoin skyrocketing to $ 20,000, a great part of the reason is the world's sixth-largest exchange Tether joint Bitfinex caused by market manipulation.
They found that: when the market is sluggish, it caused each additional TEDA currency Bitcoin and other major currencies surge in a short time, and during this time to accept price increases USDT exchange rate far exceeds those of the Exchange did not accept USDT, and when Bitfinex stop issuing new Tether, this phenomenon is stopped.
This is why this year currency circle of people to pay special attention to USDT issuance, according to "common sense", USDT issuance of digital money will flow into the market, the mainstream was used to purchase digital currency, demand a short time BTC, ETH and other major currencies increases on causing prices to rise.
But this year has been Tether additional $ 1.4 billion in USDT, Bitcoin has not soared, and by inference in the beginning of the article Bloomberg, the main battlefield Tether is likely to support a currency conversion from mainstream USDT cottage currency. Cottage currency market capitalization of BTC and prices are small, short-term price easily pulled higher, "banker" can use less bargaining chip in exchange for a bit more money.
In addition, there is a conspiracy theory that if indeed there is no printing press USDT dollar reserves, they now do not need money to make money by raising the bit, since the end of last year opened a bit on the currency futures market, they can harvest a two-way, additional - buy BTC-- short burst - sell BTC chips - long burst, and so on, but also just as long as the issuance of this game will be able to keep playing.
Tether has too much uncertainty, and markets its dependence is a hidden disaster. When prices fall, many people will be held to hedge a large number of USDT, but if one day TEDA company was broke and no one to one US dollar accounts, in the event of a run, TEDA will crash, investors had with gold silver in exchange for USDT will be worthless.

The line stretched point of view, take a look at 17 years from "bull" to the present, but it is still the overall trend showed a high sink from more recent node view, opening to 19 years but now they exhibit a low to high trend. To Bitcoin, for example, 1, 2, essentially sideways in March, April suddenly a wave of market, this wave a lot of people very excited, this appeared before a lot of people say is not "bull "back in the kind of questions.
Many people suddenly struck by surprise for the market, which is also before the article is actually analyzed the reasons for this wave of market is mainly composed of three reasons, 1. United States Congress as Congress submitted two bills under consideration on Bitcoin News, contains HR922 - "2019 Nian virtual currency consumer protection Act", HR923 - "2019 US virtual currency market competitiveness and regulatory bill."
Interpretation of these two laws will provide trading and all other Bitcoin virtual currency digital protection of the law, it is a very positive signal, all of a sudden it will pull back the confidence of investors, resulting in a large influx of funds from the legal point of view , raised the price of the currency.
The second reason is a little wonderful work, according to foreign media sources said, SEC in early April when the bitcoin through the application of ETF futures products were allowed to enter the market. But in fact this is April Fool's Day joke, this is April Fool's joke and later release of foreign professional financial media financemagnates block chain is also the official website of the news these added the words "April Fool's Day joke", to show clarify.
The third reason from Reuters, a very mysterious employers are purchased in batches over $ 100 million bitcoins in coinbasewww.kaifx.cn other major exchanges. In this relatively "Bear" great environment suddenly pulled big odds. Let Bitcoin prices soaring.
Digital Encryption currency from the market point of view, along with gains from Bitcoin, the currency of the overall digital encryption and broke trillion total market capitalization. Now the total market value of around $ 1.1 trillion. Good Bitcoin itself will promote the overall recovery of encrypted digital currency markets.
Can also be seen from the beginning of April this round of recovery, some say Bitcoin currency is likely to produce other blood-sucking effect, some people say that Bitcoin will prove push. Personal view is whether vampire or promote, Bitcoin is certainly positive and positive step forward for the digital encryption currency.
In addition to recent beliefs, there is one thing in particular also test people's nerves, this is the most important USDT scandal, leading to a stable currency is also a huge shock, currency volatility. The figure below shows USDT fell short of the cliff-style.

Main reason for this happening is a report by Bloomberg, New York City report describes Attorney General's Office spokesman said the exchange with USDT have Bitfinex intricate relationship in order to fill a $ 850 million deficit, directly appropriates USDT be filled. USDT a direct result of currency fluctuations caused by 4%, and 4% for a total market capitalization of about 30 billion dollars a stable currency is also a terrible loss. The original text USDT fell following picture Bloomberg reported.

The follow-up report is also very confusing, there is news that the media source, TEDA (USDT parent company) deep financial losses, the inability to repay among the mire, there is news that 850 million dollars bitfinex exchange only be temporary frozen, not the deficit, sudden news everywhere, who now Mo Buzhun market context.
Simply make a small prediction, as of press time Bitcoin price of around 5300 in the short term necessarily state or sideways, sideways and slightly minor mainstream currency, ETH from 1100 highs back to early 1000. Recently Yiyi Ou limelight has passed, not blindly chasing the new currency on the market, recently several new coins massive highly touted, but after the fall of the currency but the fans want rights. This needs attention.
Finally, investment risk, market to be cautious, the trend Bitcoin itself must be steadily. But may fluctuate slightly due to various factors, the band did a short note full stop short term. All items on the new Yiyi Ou need to choose carefully. You can also buy coins in the largest exchange, the exchange of small projects proposed purchase is less, after all, on the line to break a lot of hair also found.