Following the last video on the BitConnect Ponzi scheme, in this video I talk about Tether which is a cryptocurrency pegged to the USD in a 1-1 ratio. The concern? The question is whether or not the company that issues Tether actually has a reserve of US dollars equal to the number of the Tethers outstanding. To complicate matters, the company's last audit was for March 31st, right before the number of outstanding Tether increased drastically (and are currently 10 times higher than last audit).
Sound suspicious? I agree. They claim they will have an audit conducted by a New York firm by the end of the year that will go back throughout the whole year. We'll know then (based on whether or not they even release the audit) if it's reliable or not. All-in-all, be cautious. This is yet another potential threat to the greater cryptosphere as a collapse here may cause a significant domino effect. As usual, happy to take your comments both here and on YouTube. Thank you as always.