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Show HN: Tether Indicative Price (TIP)

4 pointsby profuse99over 6 years ago
The price of Tether on coinmarketcap has become at times extremely skewed versus the fair value observed in the market. Thus we present a tether price index which attempts to represent the realistic fair value of USD&#x2F;USDT as witnessed across the global market as a whole. It is our hope that this index will provide a valuable pricing signal as an alternative to cmc or the relatively illiquid USD&#x2F;USDT markets that exist on Kraken and Bittrex.<p>The Tether Indicative Price (TIP) is an index produced at 1-minute intervals by sampling the price of Bitcoin and Ether against USD and USDT across some of the biggest exchanges. For exchanges that use USD, we calculate a price for BTC and ETH weighted by the respective trading volume at each exchange (the more volume an exchange trades, the more weight is given to its current price). The same process is repeated for USDT based exchanges. The TIP is then derived from dividing the weighted USD prices by their USDT counterparts. Currently, 2&#x2F;3 weight is given to USDT prices derived from BTC, and 1&#x2F;3 weight to USDT prices derived from ETH. This blend is then taken as the current value of the TIP.<p><a href="https:&#x2F;&#x2F;www.tether.watch&#x2F;" rel="nofollow">https:&#x2F;&#x2F;www.tether.watch&#x2F;</a>

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