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1) Alright, time for some answers! My brief explanation is roughly: There's huge buy-side demand for USDT. It's coming from: a) OTC flow, primarily from Asia b) People selling BTC --> USDT to hedge positions c) People selling BTC --> USDT to reduce risk

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SBF

@SBF_FTX

Mar 30, 2020

25 FTT prize to the first person who can explain why this is happening well in a single tweet! twitter.com/whale_alert/st…

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SBF

@SBF_FTX

Mar 31, 2020

2) This is related to changes in futures premiums, crypto sentiment, miner balance sheets, borrow/lend rates, and desire to move capital. This demand drives up price and in turn supply, so people create. A bunch of people pointed to parts of this, so I'll give out a few prizes:

SBF

@SBF_FTX

Mar 31, 2020

3) @king_ogboi USDT premium: twitter.com/king_ogboi/sta

@tradeboicarti16

OTC demand: twitter.com/tradeboicarti1

@bullishbtc

BTC --> USDT: twitter.com/bullishbtc/sta

@Dan_BTC

quoting @genoplivning on OTC and transparency: twitter.com/bullishbtc/sta

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SBF

@SBF_FTX

4) Everyone tagged in the above post should DM me their FTX emails and I'll drop the 25FTT!

12:22 AM · Mar 31, 2020Twitter Web App

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1)So back in 2018 it is easy to see that Tether gets printed after we see a gain of value in USDT.For the opposite we also see Tether losing in value and get burned afterwards. We had way bigger spreads that time than we have now, so they did a worse job holding tether around $1

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2.)It seems they have a new kinda automated system that prints or burns really frequently when the systems notice a change in value of Tether. They seem to prepare millions of USDT to move to exchanges in case USDT value increases in value a lot.