Tether Hearing! Profit with a Crypto Trading Bot.
The takeaway for this topic —1. Stablecoins are not always stable.
2. Profit from the fluctuation between each stablecoins.
Tether hearing — How it all began
The New York Attorney General’s office started an investigation into iFinex, the parent company of both Bitfinex and Tether. Allegedly, the company covered up a loss of $850 million by giving itself access to $900 million worth of Tether’s reserves.
Result of the tether hearing?
No result so far. Another 90 days of extension and will have another tether hearing then.
Whenever Tether starts minting new $USDT to the market, bitcoin will pump right after that.
Are there any alternative to Tether (USDT)?
Yes, we do have some choices.
Currently, there’s two mainstream of stablecoins which are fiat-collateralized stablecoin and crypto-collateralized stablecoin.
- Fiat-collateralized: USDT, PAX, GUSD, TUSD, USDC
- Crypto-collateralized: DAI
PAXOS (PAX) — Fiat-collateralized
Paxos is the first regulated stablecoin from New York. Every collateralizing deposit is held at FDIC-insured U.S. banks, and every Paxos Standard bank account is audited by U.S. auditing firm Withum.
DAI — Crypto-collateralized
DAI is the first fully-decentralized stablecoin on Ethereum. Maker keeps Dai at $1 using a system of collateral and price feeds. This collateral is carefully managed by the MKR token holders.
Reserve (RSV) — Hybrid model
Reserve is a combination of centralized, algorithmic, and crypto-collateralized approach. The Reserve (RSV) token will be backed by a basket of collateral tokens, held in the smart contract. RSR holders have the cryptographic right to purchase RSV tokens from the protocol at certain points. These purchases help stabilize RSV, and the RSR tokens used in these purchases are burned.
As you can see, the whole stablecoin market is still dominated by USDT. Nearly 80% of the entire stablecoin market cap and 90% of the daily trading volume was generated with USDT.
Although they called themselves “Stablecoins”, but it’s not stable at all.
USDT/HUSD on Pionex
With the volatility of stablecoin-stablecoin pair on Pionex, we can easily create a grid bot on it and make some profit with stablecoin. If you have some USDT and didn’t use it for a long time, then it’ll be a great idea to use it with this kind of strategy.
There should be another chance for USDT with the grid bot near the next Tether hearing. Keep an eye with it and you might be able to profit from the Tether hearing.
Watch our replay about the stablecoin topic!
➡️ Part 1 — Tether hearing! Opportunity to profit from the stablecoins.
➡️ Part 2 — Plan for BUB, Jeremy’s trading diary, Pionex available for the USA traders?
Why should you use Pionex for bot-trading?
Pionex is an exchange designed for the trading bot, here are some advantages of using Pionex:
- Trading bots were provided directly on Pionex — More stable than API trading
- Low trading fee — Pionex trading fee is now 0.05%
- Good liquidity — Pionex merges the liquidity from other exchanges.
- More bot, more profit.
👉 Join Pionex: https://www.pionex.com/en-US/sign
👉 Pionex Official Telegram Group: https://t.me/pionexen
