BREAKING : NYAG ends Bitfinex + Tether trading

bartosimpsonio said:

Isn't Tether owned by Bitfinex or something like that?

Click to expand...

Yes, both Tether and Bitfinex are owned by the same company.

bartosimpsonio said:

So if you're a private party issuing dollar notes but those dollars are not backed 1:1 then what do you call that?

Click to expand...

They are backed 1:1 but by a combo (cash + loans + btc) instead of 100% cash. The problem was that they mislead the authorities into thinking they have cash 100%.

The difference is if they ACTUALLY weren't backed by anything or just backed by a fraction, that would've been indeed printing.

jonsnow2019 said:

The difference is if they ACTUALLY weren't backed by anything or just backed by a fraction, that would've been indeed printing.

Click to expand...

OK that makes sense.

So they're backed up stuff, not cash.