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Tether Holders Heading To Kraken For Offloading USDT
Tether (USDT) is one of the best-known stablecoins in the entire crypto market. As such, it promises to serve as a cryptocurrency with unquestionable stability, as each of its coins is supposedly backed by $1.
However, throughout its history, many have questioned if Tether coins are entirely backed, which has caused a lot of controversies, as well as a fear that investors are holding unbacked coins. These suspicions have increased recently after Tether’s price dropped far below $1.
At the same time, BitFinex, one of the largest exchanges that trade Tether, announced issues with deposits and withdrawals of fiat currencies. This, and similar reports, such as Noble bank losing Tether as their customers, seem to have sparked a desire among investors to offload their coins.
Tether holders unable to return USDT to Tether Ltd
According to Tether’s 2016 white paper, USDT holders should be capable of exchanging their Tether coins for USD by simply returning them to Tether Ltd. However, in the last several months, numerous users reported that they were unable to do so. As a consequence, investors turned to cryptocurrency exchanges in the hope that they will be able to sell their USDT there.
Since BitFinex already announced deposit and withdrawal issues, many have gone to Kraken exchange, as one of the few places where Tether can be converted to USD. Since then, Kraken’s wallet balance increased its Tether supply to almost 47.8 million coins. This has made it the eight-most valuable wallet that holds USDT.
Considering that only two weeks ago, the same wallet held the 22nd place on the list of wallets with the highest amount of USDT, it seems that the rumors are true. Kraken now serves as quite a notable outlier, and investors are indeed using it for exchanging their Tether coins for US dollars.
This indicates that doubts regarding USDT did not only blow over, and Tether holders are in a hurry to exchange their coins. Kraken, which offers only one trading pair for Tether — USDT/USD — claims that investors are merely exchanging Tether for dollars to buy other coins. In other words, the growth of their USDT supply is not a result of investors trying to get rid of Tether, but instead, they are only trying to get to other digital currencies.
Yes traders will transfer USDT to Kraken, sell it for USD at whatever rate the market is willing to pay for it at the time, and then they can use the actual USD to buy other cryptocurrencies.
— Kraken Support (@krakensupport) October 18, 2018
This claim is backed by the fact that Kraken has no other trading pairs for USDT, as mentioned. However, back on October 15, when Tether’s price dropped to only $0.85, USDT trading volume spiked like never before. Despite Kraken’s claims, this is a clear sign that investors started seeking ways to offload USDT once its price started dropping.
It would seem that concerns regarding the USDT finally got through to even the most optimistic investors. While these suspicions have been around for a while, most Tether holders likely discarded them as just pessimistic speculation. However, many see the current situation as abandoning this so-called stablecoin in fear of an even larger crash.
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Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and/or its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.
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Hong Kong, Hong Kong, 25th January, 2021, // ChainWire //
Xeno Holdings Limited (xno.live ), a blockchain solutions company based in Hong Kong, has announced the listing of its ecosystem utility token XNO on the ‘Bithumb Korea’ cryptocurrency exchange on January 21st 2021.
Xeno NFT Hub (market.xno.live ), developed by Xeno Holdings, enables easy minting of digital items into NFTs while also providing a marketplace where anyone can securely trade NFTs.
The Xeno NFT Hub project team includes former members of the technology project Yosemite X based in San Francisco and professionals such as Gabby Dizon who is a games industry expert and NFT space influencer based in Southeast Asia.
NFT(Non-Fungible Token) technology has recently gained huge focus in the blockchain arena and beyond, making waves in the online gaming sector, the art world, and the digital copyrights industry in recent years. The strongest feature of NFTs is that “NFTs are unique digital assets that cannot be replaced or forged”. Unlike fungible tokens such as Bitcoin or Ether, NFTs are not interchangeable for other tokens of the same type but instead each NFT has a unique value and specific information that cannot be replaced. This fact makes NFTs the perfect solution to record and prove ownership of digital and real-world items like works of art, game items, limited-edition collectibles, and more. One of the ways to have a successful…
2020 has been an incredible year for crypto as investors have generated windfall profits and crypto projects have seen their businesses gain the spotlight they’ve been looking for. While Bitcoin has received most of the attention after major institutional investors announced they were accumulating the increasingly scarce asset, many altcoins have also seen their fair share of glory. When looking at all the big winners of the past year, the first project that probably comes to mind is Chainlink, having appreciated by more than 550% YTD and now valued at over $4.5 billion. But, the actual biggest winner of the year is HEX with a YTD return of over 5,000%.
I mention both of the above projects as they have each taken slightly different paths to achieve greatness. Chainlink has devoted resources toward building a fundamentally sound business with many strategic partnerships while HEX has spent vast sums of money on marketing and promotion. Both approaches are valid, but one thing is certain, it is absolutely imperative for crypto projects to let the crypto community know what makes them special. Of course, one of the reasons that makes crypto so valuable is the powerful blockchain technology that most projects are utilizing.
Cryptocurrency vs. Blockchain Technology
It’s important to make a distinction between blockchain technology and cryptocurrency. Although they are often used interchangeably, they are different. Blockchain technology and crypto were both created after the 2008 financial crisis, but cryptocurrency…
Altcoins
XENO starts VIP NFT trading service and collaborates with contemporary artist Hiro Yamagata
Hong Kong, Hong Kong, 24th December, 2020, // ChainWire //
The XENO NFT Hub (https://xno.live) will provide a crypto-powered digital items and collectables trading platform allowing users to create, buy, and sell NFTs. Additionally it will support auction based listings, governance and voting mechanisms, trade history tracking, user rating and other advanced features.
As a first step towards its fully comprehensive service, XENO NFT Hub launched a recent VIP service to select users and early adopters in December 2020 with plans for a full Public Beta to open in June 2021.
“NFTs are extremely flexible in their usage, from digital event tickets to artwork, and while NFTs have a very wide spectrum of uses and categories XENO will initially focus its partnership efforts and its own item curation on three primary areas: gaming, sports & entertainment, and collectibles.”, said XENO NFT Hub president Anthony Di Franco.
He also added “This does not mean we will prohibit other types of NFTs from our ecosystem However, it simply means that XENO’s efforts as a company will be targeted into these verticals initially as a cohesive business approach.”
Development and Procurement Lead, Gabby Dizon explained, “Despite our initial focus, we found ourselves with a unique opportunity to host some of the works of Mr. Hiro Yamagata. We are collaborating with Japanese artist Hiro Yamagata to enshrine some of his artwork into NFTs.”
Mr. Yamagata has…
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