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by lanrh1836 2543 days ago
I know there are a lot of crypto skeptics here, but if you believe in Bitcoin more than Tether at least then you should buy Bitcoin...if Tether does indeed fail Bitcoin will almost certainly spike past 2017 highs.
3 comments

This assumes the price of bitcoin is not manipulated, specifically by bitfinex and tether. Both may go down together when more news of manipulation comes out.

At this point, I wouldn't recommend going near any of the current cryptocurrencies, for any use.

What about other coins tied directly to fiat?
yes BTC:USDT will spike like hell but it will unpeg from BTC:USD.
Why would bitcoin spike?
Since it's very difficult to convert USDT into real USD, if people were desperately trying to exit their Tether positions, they'd likely do it by changing for other cryptocurrencies like bitcoin.
>Since it's very difficult to convert USDT into real USD,

The irony in this sentence should given even the most hardened USDT fan something to think about

Also it's not "very difficult", it's nearly (if not exactly) impossible.
I think that would be a spike in Bitcoin relative to Tether, not relative to the dollar. In the extreme, people might want to exchange any amount of Tether for the tiniest piece of a Bitcoin, but that doesn't necessarily mean that the Bitcoin/dollar rate changes.
Why ignore any other negative impacts like, lack of confidence in crypto from USDT collapsing because crypto is still a Wild West having a random corp printing money at will and there will certainly be a group of people who will face huge loss when billions just evaporate and the impact all the exchanges take who are dealing with USDT? SEC is not going to like it and can probably lock ETF for a good while.
but they don't and they never had so this argument is flawed