DeFi platform begs hackers to return $600 million in stolen crypto
- Thread starter troubled soul
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@lacomaco when you click the link above you can see how much USDT has been issued on that blockchain. But how can we verify that the financial institutions are holding Tether's dollars? We just can't see what's going on in the same way that we can see what's on the blockchain.
If I claim that I hold 1 million in USDT and $1 million in some legacy institution, then you can easily verify my USDT balance but not the other part.
If I claim that I hold 1 million in USDT and $1 million in some legacy institution, then you can easily verify my USDT balance but not the other part.
How you think this can be fixed then out of interest? Would an audit be enough or you want other means?
P.S The bank tether uses in my country no one has even heard off....lol. I wouldn't accept a local audit as proof of anything for example.
P.S The bank tether uses in my country no one has even heard off....lol. I wouldn't accept a local audit as proof of anything for example.
It's hard to verify fiat for now. This could well be a feature of CBDCs that isn't practical with current deposits. Maybe you'll be able to look a the dollars on deposit with your EMI and follow the chain through their bank and up to the central bank.
I think the Tether conspiracies are exaggerated a little but also I wouldn't pick Tether as an example of best practice either. Enter some XAUt address such as 0x2faf487a4414fe77e2327f0bf4ae2a264a776ad2 into Tether's website and you get a bunch of what look to be internal serial numbers. So not much use.
But if you go to Paxos' website and enter a PAXG Ethereum address such as 0x28c6c06298d514db089934071355e5743bf21d60 then you can look up the gold︀ bar serial numbers at Gulidov Krasnoyarsk. That is something that presumably can be verified. Also︁ you could collect the serial numbers attached to all PAXG tokens and make sure they︂ add up. In future, I see the gold depositories having a similar lookup to (optionally)︃ allow the owner of each gold bar to be verified. Then you could really do︄ your own audit. No special magic needed, just publicly accessible, immutable data.
Beyond that, depositories︅ could tokenise as well and then you could follow the flow of trust from some︆ issuer you _really_ trust, down to your counterparty. Blockchain has famously been about Dogecoin and︇ NFT "artworks" going for millions but once there's been enough tokenisation of verifiable gold bars,︈ bottles of wine aging in the grower's cellar, stocks, apartments, offices, shopping malls, aircraft on︉ lease, etc., the use cases for smart contracts should explode. As well as critical mass,︊ this will require some maturity in terms of contract audits etc., which is where the︋ poly.network hack is useful.
I think the Tether conspiracies are exaggerated a little but also I wouldn't pick Tether as an example of best practice either. Enter some XAUt address such as 0x2faf487a4414fe77e2327f0bf4ae2a264a776ad2 into Tether's website and you get a bunch of what look to be internal serial numbers. So not much use.
But if you go to Paxos' website and enter a PAXG Ethereum address such as 0x28c6c06298d514db089934071355e5743bf21d60 then you can look up the gold︀ bar serial numbers at Gulidov Krasnoyarsk. That is something that presumably can be verified. Also︁ you could collect the serial numbers attached to all PAXG tokens and make sure they︂ add up. In future, I see the gold depositories having a similar lookup to (optionally)︃ allow the owner of each gold bar to be verified. Then you could really do︄ your own audit. No special magic needed, just publicly accessible, immutable data.
Beyond that, depositories︅ could tokenise as well and then you could follow the flow of trust from some︆ issuer you _really_ trust, down to your counterparty. Blockchain has famously been about Dogecoin and︇ NFT "artworks" going for millions but once there's been enough tokenisation of verifiable gold bars,︈ bottles of wine aging in the grower's cellar, stocks, apartments, offices, shopping malls, aircraft on︉ lease, etc., the use cases for smart contracts should explode. As well as critical mass,︊ this will require some maturity in terms of contract audits etc., which is where the︋ poly.network hack is useful.
Most people use stable coin for money laundering. If they care about , it is backed or not??
In Dubai most crypto dealer love stable coin , property transaction done using stable stable coin.if they care about ,is it back or not???
As long as it is useful to good or bad people .as long as people believe some one another people pay for their token It will survive with or without backing.
Long time ago dollar back by gold. Now Fed can print as much as he wants.
As long as people believe in dollar and strong usa economy.
One property in new york manhattan, and one in new Jersey , same size same material but different price.
You can say it is property bubble ,but as long as people believe its cost worth︀ it. It will survive.
The most important word in economy is "trust".
Anything become zero︁ value , when people lose trust in it.
End of the day who cares stablecoin︂ back or not???
Good or bad People will still use it if it is backed︃ or not.
I think stable coin inventor done biggest historical blunder by declaring it is︄ backed by us dollar.
Open for criticism
In Dubai most crypto dealer love stable coin , property transaction done using stable stable coin.if they care about ,is it back or not???
As long as it is useful to good or bad people .as long as people believe some one another people pay for their token It will survive with or without backing.
Long time ago dollar back by gold. Now Fed can print as much as he wants.
As long as people believe in dollar and strong usa economy.
One property in new york manhattan, and one in new Jersey , same size same material but different price.
You can say it is property bubble ,but as long as people believe its cost worth︀ it. It will survive.
The most important word in economy is "trust".
Anything become zero︁ value , when people lose trust in it.
End of the day who cares stablecoin︂ back or not???
Good or bad People will still use it if it is backed︃ or not.
I think stable coin inventor done biggest historical blunder by declaring it is︄ backed by us dollar.
Open for criticism
It is extremely easy to verify where you keep your money - auditors do it all the time... If︀ Tether would want to publish its actual investments and its structure (same way as let's︁ say an investment fund which reports it shareholdings) then it will be totally clear. If︂ Tether does not want to publish in what they invest the 62Bn then it is︃ highly suspicious and has nothing to do with the legacy financial system
Nothing to criticise,︅ you are of course entitled to your opinion 🙂 What I am afraid is this current︆ Defi mania, with hugely leverged positions based mainly on BTC, ETH and stablecoins. If trust︇ will considerably decrease in Tether (of which I am very sure to happen) the whole︈ leveraged pyramid could collapse... Even a 30x leverage killed Lehmann, what about 100x or 500x?︉
Lookup is simply not enough. The depository is always gonna be the weak link in any scenario as gold is a physical asset requiring human intervention. I highlighted the case of Tov Hazel where client gold went missing. Refusal to honor gold delivery is an issue but honoring redemption will also be an issue with USDT also 🙁. For me︀ its not just being able to track an asset its whether the asset is physically︁ there and accessible also. Mixing virtual and physical assets is always gonna be a problem︂ as crypto world is full of clever scammers.
I completely agree that the depository will always be a risk. This goes for gold, wine, land deeds. People move into their dream home in Southern Europe or South East Asia and find that their lawyer betrayed them. Would a safe in my apartment be safer, if the gangsters turned up? There is no perfect solution, so we diversify.
Still I say that the harder to forge or fake the custody, the less risk you have. Blockchain provides possibility for convenience, lower costs and smart contracts while letting us follow the chain to whatever person we trust enough.
Still I say that the harder to forge or fake the custody, the less risk you have. Blockchain provides possibility for convenience, lower costs and smart contracts while letting us follow the chain to whatever person we trust enough.
Everything in crypto is funny and unreliable.
Like Coinbase has Deposit insurance. Let's assume someone hack the whole exchange.
Do an insurance company pay huge amount of that money ????
People believe this BS And living in Dream. When hack happen, First The insurance company will file for bankruptcy.
Like Coinbase has Deposit insurance. Let's assume someone hack the whole exchange.
Do an insurance company pay huge amount of that money ????
People believe this BS And living in Dream. When hack happen, First The insurance company will file for bankruptcy.
Heard they offered him a job...lol. So Polynetwork offering criminals jobs these days? Thats like offering El Chapo Guzman a job leading the US Drug Enforcement Agency (DEA) doh948"". Imagine I robbed a bank of $610m and returned the money the next day should I be given a job as head of security at that bank? World gone crazy.
https://www.msn.com/en-in/news/othe...twork-offered-job-by-same-platform/ar-AANu7cf
https://www.msn.com/en-in/news/othe...twork-offered-job-by-same-platform/ar-AANu7cf
If you dont care, ie small % of your net worth, about the 6 digits then yes. If it is sizeable, I would not store that over longer term, use Bitcoin instead.
If you want to trade for like a 3 month downturn, id use like 4 different stablecoins to spread risk.
If you want to trade for like a 3 month downturn, id use like 4 different stablecoins to spread risk.
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