Yeah but something happened when USDT was in the unpeg crisis 2 days ago.
See, if it fails then the big exchanges become insolvent, full stop.
Now here's the thing. With some exchange APIs you can see market order statuses, whether they're settled or not.
You can use this to determine market latency. If I want a market buy, how long does it take to settle.
So here's the thing, the latency on USDT buys was on the millisecond scale as best I could determine.
The latency on USDT sells was near minute scale.
It's a giant accusation so I'm not going to name-drop the exchanges I'm talking about and I'm just a single data point but if anyone else saw it contact me.
It looks like they "narrowed the channel" and put their thumb on the scale to prefer buys and float the price, pushing it back up.
Now this was at a time that the gas price was about 250/300gwe because of the massive UST exit and network delays were 15/20 minutes or so.
So even if you wanted to arbitrage it wouldn't have been worth it because the network was going way slower then exchange latency.
This started basically right when Tether tweeted about the billion in Avax and ran for about 12 hours or so
Ultimately it doesn't matter. These are unregulated securities and the exchanges can run their markets as the please and, if what I'm saying is right, good job keeping the thing you need to stay in business afloat. Coinbase stock (which I'm using as proxy for general sentiment) climbed 50% after tether got repegged and contagion appears to have been averted
I'm just wondering if anyone else saw this. It could be a coding defect on my part, a fluke because of the craziness of the market, me projecting and fooling myself, etc.
Please don't go around repeating this as fact, it as of now, needs independent verification
See, if it fails then the big exchanges become insolvent, full stop.
Now here's the thing. With some exchange APIs you can see market order statuses, whether they're settled or not.
You can use this to determine market latency. If I want a market buy, how long does it take to settle.
So here's the thing, the latency on USDT buys was on the millisecond scale as best I could determine.
The latency on USDT sells was near minute scale.
It's a giant accusation so I'm not going to name-drop the exchanges I'm talking about and I'm just a single data point but if anyone else saw it contact me.
It looks like they "narrowed the channel" and put their thumb on the scale to prefer buys and float the price, pushing it back up.
Now this was at a time that the gas price was about 250/300gwe because of the massive UST exit and network delays were 15/20 minutes or so.
So even if you wanted to arbitrage it wouldn't have been worth it because the network was going way slower then exchange latency.
This started basically right when Tether tweeted about the billion in Avax and ran for about 12 hours or so
Ultimately it doesn't matter. These are unregulated securities and the exchanges can run their markets as the please and, if what I'm saying is right, good job keeping the thing you need to stay in business afloat. Coinbase stock (which I'm using as proxy for general sentiment) climbed 50% after tether got repegged and contagion appears to have been averted
I'm just wondering if anyone else saw this. It could be a coding defect on my part, a fluke because of the craziness of the market, me projecting and fooling myself, etc.
Please don't go around repeating this as fact, it as of now, needs independent verification