Should I store my assets in USDT? Qualitative

USDTUSD

Should I store my assets in USDT?

I will try to answer this question mostly utilizing the Fundamental Qualitative Analysis.

Tether, USDT is a well known stablecoin (reference the chart). There are many just like it, Circle's USDC, Binance's BUSD, MakerDAO's DAI, they all promise a 1 to 1 peg to the USD (at the time of writing 1 BUSD is equals to $0.9987).

What is a 1 to 1 peg?
  • is a practice of attaching or tying a currency's (or digital asset's) exchange rate to another currency, in our case a US $.


Tether's USDT to USD $ 1 to 1 peg.
Example 1
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Example 2
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Since 2014, Tether has promised a full audit. People and Regulators are eager to see the audited Reserve Assets Report.
Tether does have a Transparency page, with some liquidity stats, but recent events have raise questions.

https://tether.to/en/transparency/

What concerns me.

As per Tether's Terms and Conditions (last updated March 15th, 2022)
https://tether.to/en/legal

Tether says they will not issue Tethers backed by digital tokens (BTC, ETH, ADA, etc.)

On July 8th, Tether discloses that Celsius Loan was denominated in BTC.

https://tether.to/en/tether-discloses-celsius-loan-liquidation-process

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On July 14th Celsius files Chapter 11

The Tweet

July 24th, Tether tweets against Ad Cookies and gives a date, 25.07.2022, I guess I should be expecting the extinction of Ad Cookies. I've snooped through Tether's website and there is a Google Analytics and a doubleclick Google Ad Manager cookie present on the pages I've visited. So, no actual Ad cookies spotted. But there is an option to Opt In!

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Tether's baggage, the timeline

April 2019 - NYAG sues Tether

August 2019 - Tether goes to Supreme Court to not produce the requested documents from the NYAG

July 2020 - Tether loses the Supreme Court lawsuit

January 2021 - After a couple extensions, Tether produces the documents, documents from 2018 and older

February 2021 - Tether and NYAG settle, fine is paid and a few disturbing details are revealed, that include:
1 Tether hid massive funds losses
2 Tether was not backed
3 Tether faked an attestation that was published on their website
4 Tether commingled customer funds
... the list goes on

https://ag.ny.gov/press-release/2021/attorney-general-james-ends-virtual-currency-trading-platform-bitfinexs-illegal

Conclusion

Should I store my assets in USDT?
Answer: No

Tether has a lot of heavy history, inconsistencies, and doesn't like it's own Terms and Conditions.
Beyond Technical Analysisfundamental-analysisqualitativetetherusdt

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