[unknown_apostle]

I'm very curious to understand this. Who is buying this? What is the real purpose? Who benefits in the end? Why is the daily volume 5 times market cap?

I wonder if it would be possible just through statistical or network analysis of all tether transactions on omni layer, without knowing the full narrative of Tether, to get some idea of the game.

[bryananderson]

1) Invent a centralized cryptocurrency which you control the generation of, announce that one of your currency is equal to one US Dollar, and claim to actually have said dollars in a bank. You must stonewall all attempts to verify this claim.

2) Set up an exchange on which customers can buy into crypto with fiat currency, but can only cash out into your invented fake-fiat currency. Do not under any circumstances allow them to cash out into real fiat. Don’t worry, they really want to believe they’re going to be billionaires, so no one will ever question their total inability to realize their paper gains.

3) Wait for a drop in crypto prices, print a bunch of your fake-fiat, and put it in your pocket.

4) Buy a ton of crypto with fake-fiat while the crypto price is low. This infusion of demand will pump the price of crypto.

5) Once you’ve sufficiently pumped the price, sell the crypto you just bought, preferably in exchange for real fiat from the customers on the exchange that you own.

6) Repeat, a lot.

[TaylorGood]

Have not bought Tether, but the traders I chat with buy it before perceived dip then buy back into their tokens at bottom.

[unknown_apostle]

But why don't they buy regular USD? Ask them next time :-)