Replying to Avatar TheBitcoinManual

I get that people are looking for a flight to safety and relative stability of the dollar is attractive to those of us who use 3rd world currencies

USDT has become this #eurodollar market for those who didn't have access to USD on traditional rails but what is the cost of this "stability" ?

While I hear so much talk about de-dollarisation on the state level, it sure does look like hyperdollarisation on the individual level, when you see how large #USDT is becoming, and all this demand feeds into buying US treasuries

Tether registered a record-breaking $4.52 billion in profit for Q1 and has $110 billion market cap, that's capital still in the dollar system, that could have migrated to Bitcoin

Does stablecoin issuers buying of treasuries get them to a point where they become too big to fail? Or will this be the largest honeypot that ends up being a biblical rugging of liquidity?

https://news.bitcoin.com/tether-q1-2024-attestation-reveals-record-4-52-billion-profits/

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SovereigntyQuest 1y ago

Throw in USDC, who seemed especially since 2020, to be the preferred choice for well-integrated institution/regulatory groups. Also throw in MiCA's regulations on stablecoins, which has already apparently caused OKX to delist USDT on it's exchange for EU users. Like you say it's very unclear how this will move on given the massive, EU dollar type, role Tether seems to have taken on.

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