I've been reading up on Tether's shady history and it honestly sounds like a ticking timebomb for the entire crypto space. For those unaware, I'd recommend this video which gives a basic overview: https://youtu.be/-whuXHSL1Pg.
In a nutshell, it looks increasingly likely that Tether (a USD stable coin) doesn't have the liquidity to cover the amount of Tether coins in circulation. They're minting new Tether out of thin air and using it to buy other crypto/do whatever they want with it. The price of Tether isn't pegged equally to the USD as they claimIf you look at the Tether's coin minting vs. Bitcoin price, they follow an eerily similar trajectory. So if people flock to exchange their Tether back to fiat, Tether will come crashing down and likely bring a major chunk of the market with it. How far it'll fall is speculation at this point, but from the looks of it this could be a massive event. Tether is currently the 3rd largest coin by market cap and is used extensively to buy/trade crypto.
Algorand is the project I believe in most, and I'm not selling regardless of what happens here, but I'm curious if anyone has information on Algorand's resiliency in an event like this. Any other information on what's going on with Tether would be appreciated as well.
Cheers fellow algonauts 🙏🏻
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