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by badge 2817 days ago

  >A whole world currency that is potentially immune to 
  inflation and government manipulation.
But completely exposed to private manipulation - malicious coders inserting backdoors into wallets which allow theft of users funds, weak private keys that are later regenerated by the dev, and so on.

Or manipulation from exchanges which generate counterfeit accounts and fake volume in order to steal BTC from the market before they exit scam like most of the exchanges in the past have.

What do you think about Tether and "stable coins" being generated by the billions for free (and then those operators using the counterfit stablecoins to steal BTC/XMR/ETH)?

https://medium.com/@bitfinexed

The common theory is that Bitfinex, Tether, and most of the Cryptocurrency exchanges are operating as fractional reserve banks - and creating more cryptocoins for free, meanwhile "buying" Bitcoin, Monereo, Ethereum, and so on for free because they operate in the dark.

If this is true, it's worse than real central banking, and it's quiet possible Bitfinex and other exchanges have stolen the vast majority of BTC in circulation.

  Protections for Customer Funds Are Often Limited or 
  Illusory. Generally accepted methods for auditing 
  virtual assets do not exist, and trading platforms lack 
  a consistent and transparent approach to independently 
  auditing the virtual currency purportedly in their 
  possession; several do not claim to do any independent 
  auditing of their virtual currency holdings at all. That 
  makes it difficult or impossible to confirm whether 
  platforms are responsibly holding their customers’ 
  virtual assets as claimed. 


https://virtualmarkets.ag.ny.gov/

https://www.bloomberg.com/amp/news/articles/2018-09-27/crypt...