Renowned economist and Bitcoin critic Peter Schiff accused Tether of engaging in manipulation following its recent Bitcoin purchase. Schiff expressed concerns over Tether's practices, suggesting that the company creates USDT out of thin air to acquire Bitcoin.
Critique of Tether's Bitcoin Acquisition
In response to Tether’s recent acquisition of 7,629 BTC, Schiff claimed that the crypto firm is involved in manipulation. He characterized Tether’s creation of USDT as its own form of quantitative easing and warned of unfavorable outcomes for both Tether and Bitcoin.
Fear and Uncertainty Surrounding Tether
Schiff’s comments have contributed to an increase in fear, uncertainty, and doubt (FUD) surrounding Tether, particularly concerning its potential exit from the European Union market. As a result, USDT’s market capitalization dropped by $2 billion.
Response and Reaction from Tether
Tether’s CEO, Pablo Ardoino, responded to the FUD, stating that competitors are trying to convince markets of non-existent issues. He asserted that Tether and Bitcoin stand united despite external challenges.
In conclusion, despite the accusations, Tether’s leadership insists on transparency and confidence in its actions, facing negativity and doubt.
