You’re talking about USDT (Tether) here.
USDT is the worst in terms of backing with actual dollars which is why USDC is the key choice if you’re looking for well scrutinized and regular checking it’s backed up with fiat.
However when it comes to trading pairs most are USDT so it makes sense holding whilst trading.
Anyway none of that is anything to do with the CEX Binance, or the FUD article that was written.
How to create FUD
Vitalik dumps memecoins 
Elon has a case of amnesia and forgets all his prior tweets or any DD done on Bitcoin.
Poorly written article with clickbait headline
FUD tweets about Tether
Top exchanges “hacked”?
Zuckerberg livestreams the killing of his pet goat “bitcoin”
Anyone who knows the history or isn’t their first rodeo knows this happened last time before we had a hard run.
Whales will be sipping champagne laughing at the new retail that have just come into the market and have two weeks experience selling for a loss at the slightest dip.
Sorry yes it is bitfinex which is linked to tether, also being investigated for fraud internationally!
It really seems to be hard to find legitimate users of Bitcoin as a currency any more, or trustworthy companies in this space, everyone is just hoping to get rich quick.
Yeah but this Bitfinex is a recycled story to create FUD, its been going on for literally years (worth checking out the wiki page for Tether to find out more). That doesn’t stop short sellers rolling out old stories at specific points.
Take short position, post recycled story, post tweet on crucial support level, watch new retail freak out, profit.
Looks like they have done their job well. 
Bitcoin and alts aren’t going anywhere.
Bitcoin use case is store of value, its digital gold. I’ll repeat again but it’s the equivalent of lugging a gold bar into Sainsburys. There’s other alt blockchains that are specifically designed for speed and fees that have real world use in providing a better job than the VISA/MasterCard network we have atm.
Bitcoin itself isn’t crypto, or the only blockchain but atm a lot of people don’t realise that. There’s about 10,000 other coins/tokens involved. A bit like APPL isn’t the only stock in the stock market.
A lot of people are diving it headfirst trying to get rich quick, without knowing anything about trading or having any financial understanding.
Thats not new though, FOMO affects everything. We now have a case where it’s getting easier for dumb retail to ape into things by downloading an app and inserting their money. Which is why we have things like GME / AMC and penny stocks pumping from reddit / tiktok / discord groups after a single post from an influencer.
The same goes for Freetrade / T212 / eToro etc
The big difference with crypto is that it still has a high level of skepticism. People don’t understand it. People see it as a new thing, where because people are getting rich it must be a scam.
People are so easily influenced by news stories, its so easy for a bank, which obviously has a strong agenda, can push for a fraud angle and people will eat it up without actually thinking having transactions in public probably isn’t the best way to be discreet, especially when its very easy to use HSBC.
Co-creator of Dogecoin is not a fan of Elon:
And magic accounting is going on at Tether Inc. Or to put it another way, people are being scammed:
Tether isn’t backed and people trading know this if they do any DD I would say that is a massive bit of FUD as it’s been known for years (about three) so why is it being rolled out now. This exact week when Bitcoin is in a rocky state.
That person above is referencing this guy who looks completely unbiased with no agenda.
Hopefully someone takes Elon a side and says this is possibly the stupid idea he’s had.
Then they explain for five minutes why Proof of Work is what Bitcoin does to validate blocks and that he should be looking at Proof of Stake validation instead if he wants to take it seriously and move away from the inefficient mining method from a decade+ ago.
It’s like saying we should all adapt 56k modems to take Gigabit fibre.
But no that’s not as fun, let’s just mess with the Crypto market and feign ignorance.
I’m getting twitchy. It’s like Trump is back on Twitter again. Spouting complete gibberish
I must ask you to stop with the personal attacks against people who disagree with you. I’ve no problem with you having a different view of Bitcoin, but this is unnecessary.
Attack on Elon?
I completely disagree with what he’s doing. He’s making a complete mockery of crypto. One person should not have this much influence.
Without sounding dramatic his recklessness is costing people their lives, not just financially.
I’m struggling to say it any other way but the creator of Doge which he’s playing in pumping and dumping with is correct in calling him a self-absorbed gifter.
If the SEC had control of crypto they would be handing him billions in fines at this point for the open manipulation.
Sorry I think you meant the David Gerrard?
I didn’t think I attacked him? I’m simply pointing out that the tweet you posted is repeating the tweet by Gerrard. He’s dedicated his life to being anti-crypto, and even writing two books which he’s shilling on Twitter.
So I just feel its important to show the source.
It works both ways, when you see pro-crypto stories it’s also worth seeing who’s making them what’s their gain from doing so etc
If no one knows that this Tether fud is a recycled story from 2017 then it looks like it’s just been uncovered this week. It’s the type of thing that causes new retail to freak out that the world is about to collapse.
It’s VERY irresponsible imo.
A reminder:
This topic is for reasoned discussion of Bitcoin (and cryptocurrency in general). That includes both positive and negative viewpoints and critique.
I acknowledge that some contributors have strong opinions about thread closures, but that will happen if we move from productive debate to shutting down either side of the argument.
Thank you!
While @phildawson and I take almost polar opposite views on Bitcoin/crypto, I find his posts interesting and I don’t read any hatred/abuse in them. It would be a shame to see this thread closed when people are largely behaving themselves.
Tether/Bitfinex’s settlement with the AG forced them to disclose what backs the coin. That was published in the last few days and it is absolutely clear now they lied when said it was 1:1 backed, it was never close. So neither recycled nor fake.
Sorry to be clear what I’m saying is the 1:1 backing of Tether has previously been known not to be true. As in it’s not new news, and the timing of it all to me is either very coincidental or obviously planned.
I don’t think I said fake, but FUD, as in fear, uncertainty and doubt.
What’s interesting is that despite this the market cap of Tether is fifty billion. Traders around the world use it as the number one stablecoin despite other alternatives like USDC or TUSD which are regularly audited by third parties to make sure it is.
Here’s the story from Feb 23 as an example
Tether’s claims that its virtual currency was fully backed by US dollars at all times was a lie,” she added. “These companies obscured the true risk investors faced and were operated by unlicensed and unregulated individuals and entities dealing in the darkest corners of the financial system.” The investigation found that, no later than mid-2017, Tether “had no access to banking, anywhere in the world, and so for periods of time held no reserves to back Tethers in circulation at the rate of one dollar for every Tether, contrary to its representations.”
Been looking at the smaller coins lately and dipping into those. I’ll prob focus on some of the larger well known coins from next month onwards.
Have a bit of variety sat in my wallet
I’m just going to leave this here:
A “significantly high number” of those firms had been warned that they were falling short of anti-money laundering standards intended to stop criminals and terrorist groups from disguising the source of their money, usually through a complex web of financial channels.
Strange article.
Data behind those published numbers? - who are the 5 crypto asset firms that are OK? Another 90 crypto asset firms are involved, making the total 95 and a further 51 crypto asset firms withdrew their temporary applications, making it a total of 146 crypto asset firms so far, according to the article.
The ‘up to 50 companies’ metric seems as loose as a moose in a hoose at this stage.
FUD flinging.
The firms on the temporary register can be accessed here - Cryptoassets | FCA
Don’t know who the 5 firms already admitted to the full register are though, or the 51 who have withdrawn their application.
Probably would have been worth mentioning in the article that the FCA have extended the end date of the temporary registration scheme from 9 July 2021 to 31 March 2022.