Tether was invented because crypto couldn't find legitimate outflows through traditional banking institutions. So, converting to fiat was impossible.<p>Tether and other stable coins came along and said: we'll keep $1 USD for every token we have, so you don't need to cash out your crypto as fiat to see how much it's worth — just trade it for a stable coin!<p>So, Bitcoin isn't actually worth $30k+, it's worth $30k+ in stable coins because that's what it's traded in. It's only connection to fiat is stable coins.<p><pre><code> if ($1 !== $1) // i.e. Tether is a scam that's not fully backed
All crypto will experience a MASSIVE crash
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The first wave of the massive crash will be due to a loss of confidence in stable coins, the second wave will be a massive panic at not being able to get out of the market fast enough because there's not enough liquidity, and the third
wave will be structural problems revealing themselves because most crypto platforms/ecosystems are codependent on each other (massive cross-investments, promissory notes, shared accounts, weird accounting practices, and tons of leveraged bets).<p>When the fiat inflows stop and instead try to reverse, it's going to be wild.