article
by Patrick McKenzie
In 2019, after years of following along, I described Tether as “the internal accounting system for the largest fraud since Madoff.” This remains true. I made many very specific claims in that essay, which have been borne out in detail in the NYAG settlement and CFTC settlement. I won’t rehash all of them here.
Tether was (again) undercollateralized in May 2022
Tether’s cryptocurrency and investment holdings declined in value
There is no embedded equity cushion in the digital tokens
Tether will lie about this again
Does that even matter?
Do you believe Tether regarding the rest of the report?
Why bother writing this?
What do you have to gain here?
A bit of cryptographic geekery
An analysis of the losses, assets, and capital questions behind Tether in May 2022.
We are not affiliated with Patrick McKenzie. This unofficial audio edition is available to listen to and share for free. See the original selection on Kalzumeus.
Duration
~11 minutes (11K characters)
Release date
May 20, 2022