Those who think Bitcoin or an other cryptocurrency will go down, or want to hedge against a “long” position, can open a “short” position. Below we explain how to short Bitcoin and other cryptos.
Tether is a useful crypto whose value roughly mirrors the price of dollar. In this respect it is an example of what is known as a “stable coin” (a coin that is meant to maintain a stable price).
Of all the stable coins, Tether is the most widely used.
Essentially, and according to their site, Tether converts cash into digital currency, to anchor or tether the value to the price of national currencies like the US dollar, the Euro, and the Yen.
Like other cryptos it uses blockchain. Unlike other cryptos, it is “100% backed by USD” (USD is held in reserve).
Some question exactly how all this is working, but conspiracy theories and doubts aside, Tether is useful as it has a steady value and can be used on many of the world’s major exchanges.
Its like a digital dollar secured by cryptography and not subject to speculation like other cryptos. That makes it rather useful.
In the volatile world of crypto, its nice to have some stability. And that is what makes Tether cool.
Tether tends to get printed before crypto prices stabilize or go up. The simplest reason for this is because Tether acts as a dollar substitute, especially on exchanges that don’t use dollars, and prices go up when people buy crypto… especially with dollars / dollar substitutes.
A 66 page study is trying to assert that Bitcoin’s 2017 rise was the result of price manipulation using Tether… but the report is narrow and likely not telling the full story.
Bitfinex is a leading and important cryptocurrency exchange that offers the major cryptocurrencies for trade and is a favorite spot for margin traders.
“Stable coin” is a term used in cryptocurrency to describe cryptocurrencies meant to hold stable values. For example, Tether (USDT) is a blockchain based asset meant to trade for $1 USD. It is a “price-stable cryptocurrency.”
Bittrex’s CEO confirmed that after some updates Bittrex will soon reopen signups to new users and allow USD trading.
A lot of conspiracy theories were going around about Tether. Tether addressed these theories and ensured everyone that they Tethers are backed 1:1 by dollars and they have been audited.
Tether (USDT) is a stable coin meant to trade for $1. The idea being that dollars are held in a 1:1 ratio by the company Tether. We discuss the FUD and conspiracy theories surrounding Tether.
Sometimes the cryptocurrency market corrects by 25% or more. Dec. 21 – 22, was one such time. From a positive frame, crypto just went on sale for the Holidays.
Tehter was reportedly hacked on Nov. 20th. This caused a quick sell-off of all things crypto. However, most coins quickly recovered.