USDT-on-TRON, FTX & WTF is really happening
This article first appeared on the Medium account of Data Finnovation. Read the full text here and care about them on Twitter.
tl； Dr. FTX/Alameda forged the vast majority of USDTs on TRON, and operates like a central bank or reserve manager that shadows the full US dollar payment in the Asia Pacific region. We can bring convincing evidence from the innovative chain research, which shows how a real digital currency use case works, although in most cases it is not particularly neat. The information also shows that Binance/Cumberland operates part of the ether currency of the same ecosystem, and these two groups of ruling parties are likely to harmonize their behaviors in one way.
We made it clear before:There are a lot of dollars in American banks, and the digital currency of this commercial bank matches the amount of American debt. All key participants are there. The pony stables coins look more like the Buchholz funnel where US dollars are injected into USDT than the medium of exchange or storage of use value. The stables looked like they were feeding USDT with TRON. According to the data information on the chain, some famous game players are closely related to the period of damage caused by the use of billions of dollars worth of currency in this process.
Therefore, now we will discuss the knowledge of TRON slightly. There is also the Fire Pen Ecosphere (HECO). We will give many evidences from the chain franchise platform. We will show the students that all the commercial complexes look very much like a Buchholz funnel, creating applications for the US dollar payment Internet, aiming at those who cannot (easily or formally) own or migrate US dollars. It also reveals how the USDT is divided into China, surrounding cities and other regions around the world, and each part is solved by different types of key digital currency entity lines.
According to the complete end-to-end completion of real use cases and daily scale, Liron Shapira clearly and convincingly responded to the question about web3 use cases in a strange form.
The interpretation here is relatively simple. We will scientifically study the two Chinese dollar payment Internet systems, and use quantitative analysis evidence to show that they are the most different from what we discussed earlier. Later, we will use the data information on the chain to prove that this kind of Internet has obtained a famous party's reasonable application. Finally, we summarized many of these objective facts and gave a clean, scientific and reasonable start of end-to-end basic theory.
The same technicality also answers the phenomenon of other versions of this use case world in a similar way.
The two franchise stores belong to Justin Sun and Huabi respectively. Even if you look at any website or social network, you can clearly see that they are targeting the sales market in China and the broader sales market in the Asia Pacific region. Go and browse the website - Chinese is always popping up. There is also some information about the expansion of these people in the region.
However, it is puzzling that these two networks basically only deal with relatively stable loan currencies. It is usually USDT on TRON. On HECO, it is usually HECO Peg USDT. In many blockchains, most of all local token purchases and sales are irrelevant amounts, and more than 95% of TRC20/HRC20 (its ERC20 version number) purchases and sales are all stable loans. We won't publish a table, because he is too boring (the things below are already very bad).
Oh, there is also the scald statistical chart we made before? This kind of USDT on the Internet looks completely different. The total amount of USD in TRON has just exceeded 50 billion dollars, which ignited about 15 billion dollars. Compared with all stable loan currencies in Ether, the USDT in TRON is more like a storage and exchange medium of use value.
Heco peg USDT is similar to USDT, in which Hobby operates a bridge. Do not sell Tether locally in franchise stores. It is much smaller than the USDT in TRON, but the efficiency is still fast.
When the Terran released his "graduation thesis of tying ropes", they missed some interesting information. During the period of significant rise of outstanding USDT, only one party received the following information on TRON:FTX/Alameda receives all USDTs in TRON.
Protos reported that FTX/Alameda sent more USDTs. This is the truth. What we haven't said is that these people receive the vast majority of USDTs on TRON... These people receive the vast majority of all USDTs on TRON.
Similarly, in digital currency, we can easily find:In this case, Binance is the report of Binance/Cumberland per Protos.
Now this is a different type of story! These two ruling parties are not only great recipients, but also master a major chain enterprise respectively. And they do not overlap (many). FTX/Alameda basically receives all USDTs on TRON, while Binance/Cumberland receives all USDTs on Ethereum.
USD to USD
Let's pay attention to this article again and focus on chain data:
The increased amount of dollars must be a match! The same goes for TRON:
As we mentioned here, FTX will gradually apply the US trade tax in July 2020 to support TRON. Remember the old data chart? The gradually vertical part of the USDT in TRON is just the report you just saw:
Now we know what happened in these two USDT lines! The blue line of the Ethernet currency of the Binance/Cumberland management method is applicable to US dollars. FTX/Alameda managed the blue and purple lines in TRON, and also received strong support from US dollars.
Now we understand:The two ruling parties are accepting most of a new USDT. (This article is all Protos, but it is not practical) The USDT amount is consistent with the cash balance of their commercial banks. (The previous post) It is correct that you see these people use small loan stables to exchange US dollars in franchise banks. Under some conditions, there is no doubt. (Previous article) Players of two larger games should at least share some money in exchange for a wallet. They are reconciled to some kind of non-zero temperature. (The previous post) The players of the two big games have their own franchise stores and do not compete directly in the USDT test market. (This post)
There are also some objective facts about the world:USDT is used in the real world for all kinds of "gray area" things. Play the video again. Digital currency is illegal in China. Includes horseshoe gold. In China, the US dollar cannot be used or is subject to strict restrictions. TRON and Hobby Ecosystem have a large scale of operation in stable currency transactions in China and adjacent/similar regions. (If necessary, please refer to the article, news report or visit the adventurer).
If you think that an additional 50 billion dollars will be injected into this field - it is known that this does not include USDC, BUSD or Coinbase dollars - otherwise this kind of dollars must be the same. These two ruling parties, as well as a few other integrated ruling parties, all hope to harmonize the US dollar liquidity on the two chains and apply USDT.
Why did it collapse?
As we all know, there are or have been many ways to introduce cash into the development of digital currency economy. For example, immediate bank transfers:
Old FTX channel command.Order (or buy and sell) the passage of the old crusher.
However, if we finally want to use US dollar currency on the Internet for payment to China and surrounding cities, they will be difficult to use this route easily. Is this concept absurd?
Is it hard to believe that those who want to buy and sell dollars in China will find a way to add Hobbit dollars or TrueUSD to a certain extent? As far as we know, TrueUSD is related to some strange things in this general field in this excellent news. It is also hard to believe that Bians is more cautious than FTX/Alameda in promoting the virtual currency transaction finally carried out in China? This sounds simple, effective, and consistent with the evidence.
At present, it is a simple guess, and we have no direct evidence. It is obvious that these two group companies known to be close to USDT have disintegrated the world and controlled the independent figure of USD payment Internet. Why does the Bahamas FTX operated by the United States focus on the USDT of TRON franchise stores in the Asia Pacific region, while the Chinese Binance initially operated by East Asians focuses on the USTT of digital currency and participates in a project in South America, Africa and India? In fact, a good way to describe Binance's non foreign/EU national key regions is to say that "no dollar can be found anywhere, and this is not our neighbor." Can we think of any simple explanation to describe how the system was formed?
Basic Theory Attacks the Main View of Information Content
Nature operates in the shortest possible form - Hegel
Let us put forward a simple basic theory in line with reality.
China has attached small stables to provide financial support for USDT according to TRON China Payment Internet. But the more traditional - perhaps we should call it semi traditional - channel brings a little nutrition to the rest of the Internet in the rest of the world. This daily task is divided among some affiliated groups according to their level of independent/grassroots democracy with China.
Subsequently, "market making" can confidently maintain the linked exchange rate, because we have US dollars. Tether doesn't have to hold them tight right away - Other just needs to know that these market making have moderate liquidity and operate well.
There are a lot of interest free savings in several banks in the United States, which has brought them a good income increase. They are waiting to apply this offshore account will not be subject to the regulatory payment platform. It is illegal for it to be widely used in many places! However, this plan does not require us to accuse the West of all violations of discipline. Naturally, our country has long been very clear that there is no limit to this. But somehow, TRON is still diligent. In any case, Bank of America seems unlikely to have to help solve the domestic legal risks in China.
The short story is not over yet. But we are already. It is obvious that so far, there will be a lot of information that has not been published.
Notes on Binance/Cumberland
We did not release any statement that no universal report was published on the relationship between the two entity lines. This concept can be used in some situations from "Cumberland is a fair competition market making of USD-USDT in Binance" to "Cumberland and Binance share market share in chain liquidity". As long as the specific contents similar to those in the Protos report are correct, this basic theory is in line with reality. We will have other information (natch), but it is unnecessary at present.
We are not sure that anything unpleasant is happening in this corner. If there are any legal objections, such as restrictions on the payment of dollars or digital currencies in jurisdictions, there is no reason to think that it will touch this relationship. Again, please note that it is dominant in Ether, not TRON/HECO.
The warning here is for response rather than justification. Binance has been operating abroad for many years. In any case, it is no problem to buy and sell in US dollars with overseas physical lines. Cumberland produces, manufactures and sells to the market in Binans and other places according to the universal source. There is no reason to think that this aspect of the matter is not 100% grand.
For the sake of clear consideration, the article is slightly compiled.