HitBTC Users Cannot Move or Withdraw USDT Due to “Currency Operations not Available” Error

Most cryptocurrency users are concerned over the USDT issue. With so many new tokens in circulation and no independent audit, things have become very dubious. TO make matters worse, it now seems HitBTC users can no longer move USDT either. Withdrawing is impossible and trading with this “altcoin” is very spotty. This is not a good development by any means. Moreover, the exchange’s support team seemingly has no explanation for this development either.

There have been quite a few oddities with Tether in recent months. Their issuance of USDT tokens has been documented multiple times. It seems new tokens are brought into circulation every time the Bitcoin price takes a big hit. This may still be a big coincidence, but few people seemingly believe that. It is evident things aren’t adding up and speculation will run wild until we see official clarification regarding this matter.

More USDT Woes to Deal With

To make things worse, it seems HitBTC users can no longer use or withdraw USDT. That is a rather worrisome development, even though it is one of the smaller exchanges. People have reported issues with this site for a few days now, most of which seems to be related to USDT trading. It is uncanny how this “asset” can effectively cause so many problems in quick succession. How all of these issues will be resolved, remains to be seen.

Adding to the list of oddities are the growing number of unconfirmed transactions from one of Tether’s wallets. More specifically, Omnichest shows several dozen unconfirmed outgoing transactions. Unlike previous transactions, these are not for big amounts per se. Some transactions are as small as 600 USDT.  Nor are they labeled as “Grant Tokens” either. Something isn’t adding up in this regard, that much is rather evident. How this will affect HitBTC and possibly other exchanges moving forward, remains to be seen.

For now, it remains unclear if this is a Tether or HitBTC issue. We do know the Omni developers added a feature for centralized issuers to freeze specific wallets. It is highly doubtful Tether would do something like that for HitBTC, though. At the same time, one can’t deny the possibility exists, even though it would serve no real purpose. A lot of frustrating things are going on with HitBTC and USDT, that much is evident. The “currency operations not available” error is certainly worrisome.

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The past few weeks have been pretty busy for Tether.The company has printed a lot more USDT than people would like to see. Even today, things are still firing on all cylinders. With another 50 million tokens in circulation, the speculation will only intensify. These new tokens once again coincide with a new Bitcoin price increase.

People have given up on tracking the number of Tethers brought into circulation these past few weeks. The company keeps adding batches and batches of new funds whenever they see fit. Over the past 24 hours, 50 million USDT were brought into circulation. That means the company needs to have $50m worth of financial assets to back up this demand. So far, that still seems highly unlikely. Especially when the company still doesn’t undergo a proper and legally binding independent audit.

Tether Presses are Printing More Money

The big question is where this demand is coming from. Rumor has it Bitfinex and Tether collude to artificially push up the Bitcoin price. So far, these claims have not been proven, despite the voices growing louder every single week. It is uncanny how most of the”print jobs” occur whenever the Bitcoin price seems to go up shortly afterward. Coincidence is an interesting concept, for those who believe in such things.

There are also allegations as to how these USDT are not backed by fiat currency. Instead, Tether is potentially issuing tokens in exchange for cryptocurrency payments. That is not exactly illegal either, although it would certainly skew the image people have of this company. After all, they never said all assets have to be backed by fiat currency alone. Nor do all tokens need to be redeemable for fiat currency either. It is a very interesting construction, which may eventually blow up in people’s faces.

Rest assured these 50 million new tokens will cause a lot of discussions. It is evident Tether faces a ton of scrutiny right now, which is only to be expected. Their business model raises questions and their day-to-day operations appear shady. Until there is any evidence to back up such claims, however, they are nothing but rumors. It is still possible something nefarious is going on, but no one can say for sure right now. This will not be the last time we touch upon this story either, that much is rather evident.

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The last thing anyone wants is to see Tether cause another Mt. Gox fiasco. Although there are legitimate concerns over this company, nothing has been proven yet. Litecoin’s Charlie Lee is concerned about this company as well. In fact, he has told the world he will “look into this matter” more closely. An interesting statement, although it remains to be seen whether or not anything is uncovered.

It is unclear what the deal is with Tether these days. Their rapid issuance of USDT is a big concern. If they have the assets in place to warrant this development, there is no reason to be concerned. Right now, no one can verify if that is the case, though. Assuming that is not the case, however, things may unravel very quickly. A new Mt. Gox scenario is not entirely unlikely in this regard. Someone needs to investigate this matter properly, in the hopes of finding out the truth.

Charlie Lee on Tether

Charlie Lee may be the savior we have all been waiting for, in this regard. More specifically, the Litecoin creator is actively looking into this matter. He isn’t interested in sharing FUD or unfounded comments with the public, though. He does agree Tether looks somewhat suspicious on the surface, but so are a lot of other projects. Digging through the “dirt” will take a lot of time and effort, to say the least. We can only hope he fails in uncovering anything at all, but the jury’s still out on that one.

It is good to see someone taking these concerns seriously, though. For the most part, the “industry leaders” in cryptocurrency have ignored these issues. While it is understandable no one wants to get involved, someone has to do the dirty work. Charlie Lee is the first one to actively do so in this regard. Whether or not anything will come of this, remains to be determined. Suspicious activity doesn’t necessarily warrant any illegal activity whatsoever.

How things will play out for Tether and Bitfinex, remains to be seen. The community has been waiting for a public audit of both companies. So far, no results have been published other than information by Tether itself. Whether or not massive fraud is taking place, remains to be determined. Things certainly don’t look great right now. At the same time, nothing in cryptocurrency is even remotely rational, which shouldn’t surprise anyone at this stage. Only time will tell what the deal is with these companies.

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Not a day goes by in the cryptocurrency world without major Tether drama. This company has made such a massive impression, people are genuinely scared of what they might come up with next. It seems one of their “prints” of fresh capital has been borked. More specifically, one particular transaction for 15 million OMNI was deemed invalid. This is a rather interesting development, although it’s unclear what is happening exactly.

This particular transaction by Tether is pretty disconcerting on many levels. For some reason, they decided to issue 15 million OMNI instead of USDT. Either they simply entered a wrong command or someone may have gained access to their “printing press”. There is no reason for this company to effectively issue OMNI tokens, as that is not Tether’s job. Instead, they issue tokens linked to fiat currency reserves, such as the US Dollar and Euro.

Another Odd Development Involving Tether

The address sending these tokens – or attempting to – is also the address responsible for issuing Grant Tokens. For some reason, this latest transaction was done in the wrong currency. It is the same type of transfer going from and to the exact same addresses as previous transactions. Why this was done in OMNI instead of USDT is a mystery to everyone. Rest assured there will be a lot of speculation regarding this topic over the next few days and weeks.

All of this goes to show a lot of things are going on with Tether which don’t add up. The company has issued USDT at a very alarming rate these past few weeks. This new messed up issuance of tokens shows some more strange things are happening. Especially when considering how this is initiated by a multisignature wallet. That means at least two people signed off on a transaction which would never work in the first place. A very odd development that raises far more questions than anyone is comfortable with.

How all of this will affect the company, remains to be seen. Making mistakes is normal, but they will be scrutinized by the entire community. Especially now that so many people are keeping an eye on what Tether is doing these days. There are genuine concerns over this company, that much is rather evident. It will be interesting to see what the OMNI team has to say about all of this. So far, they remain unusually quiet regarding this latest development.

The shenanigans surrounding Tether are far from over, by the look of things. More specifically, the company decided to issue another 10,000 USDT out of the blue. Most of these issuances coincide with a major Bitcoin price pump. Proving something nefarious is going on is pretty much impossible at this point. However, it remains a highly controversial topic of debate, that much is evident.

Tether is quickly becoming a company non grata in the Bitcoin world. Many conspiracy theories involving this company exist right now. That in itself is not surprising, as there is some shady stuff going on, to say the least. The company keeps issuing new currency on a regular basis, which often results in the Bitcoin price going up again. This is not just a mere coincidence, but a major bubble waiting to burst sooner rather than later. How all of this will play out, remains to be determined, though.

More Tether Concerns to Deal With

Their latest issuance of 10 million USDT raises a lot of questions. It happens right when the Bitcoin price is starting to push toward $10,000. Many people assume it is these new USDT which will push Bitcoin over the edge. Whether or not that will be the case, remains to be determined, though. A lot of money has been going from Tether to Bitfinex and also Poloniex and Bittrex by the look of things. Some users are pointing out there are a total of 20 million new tokens and not just ten million. A very worrisome development, to say the least.

The CEO of Bitfinex and Tether is one and the same person. This shows there may be some real collusion between both entities. Proving this is the case isn’t as easy as one would like it to be, though. One thing we do know is how the new 10 million was sent to Bitfinex directly. This cannot be coincidental whatsoever, especially as it is not the first time this has happened. At this rate, Bitfinex will quickly become the new Mt. Gox. That is a situation everyone is looking to avoid first and foremost.

All of this paints a very worrisome outlook for cryptocurrency as a whole. While Tether claims everything is legitimate, their refusal of an independent audit certainly suggests something else. With the new tokens now flowing to other cryptocurrency exchanges as well, things are not looking all that great. It would certainly explain the surge of some altcoins as of late. There is plenty of reason for getting concerned over what Tether is doing these days. We can only hope none of this blows up in our faces over the coming weeks and months.

The big news of last night was how Tether allegedly got hacked. In a statement issued by the company, they explain how almost 31m USDT were removed from the Treasury. This incident occurred on November 19th, and the money was sent to an unauthorized address. None of the stolen tokens will be redeemed, but the company hopes to recover the money regardless. For now, the money still appears to be in a Bitcoin address. It is unclear how this money will be spent, assuming that is even the objective.

This whole Tether issue is pretty worrisome, to say the very least. We have reported on this company’s odd behavior for some time now. Whether or not there is a malicious intent behind this attack, remains to be determined. The company did not explain how the money was moved from the Treasury exactly. That is always a bit worrisome, as companies should be transparent regarding what is happening. The stolen tokens have effectively been flagged and won’t be redeemable for USD.

The Plot Thickens for Tether

For the time being, the Tether back-end wallet service is suspended. This is part of the ongoing investigation to determine what caused this problem. Secondly, the Tether “chain” went through a hard fork to ensure the stolen funds can’t be moved. Considering how USDT is issued on Omni, new builds are being provided to Omni Core to make this happen. All individual users and integrators need to update their client as soon as possible. This is similar to how Ethereum bailed out The DAO investors when a similar issue occurred.

This new software will also cause a consensus change. It is a temporary hard fork to the Omni Layer. Any tokens belonging to the flagged bunch will not be accepted. This should prevent the attacker from successfully moving the USDT balance to an exchange. Otherwise, they could easily convert it to BTC or different altcoins and cash out that way. It is possible this may still happen, depending on how fast all integrators upgrade their clients. It is a very worrisome turn of events, to say the very least.

Some sources claim this was not a hack at all. Instead, they are fearful Tether is working toward a major exit scam. Their rapid issuance of new tokens, previous issues with converting back to USD, and now this certainly makes for a strange year for Tether. Whether or not the company can recover from this incident, remains to be determined, though. The company confirms all other assets are still backed by US Dollars in reserve. For now, everyone will have to believe that story. It may be the truth, though, but no one knows for sure at this point.

Tether is one of the companies causing some drama in the cryptocurrency world right now. The company has issued around 50 million USDT this week alone. All of this money is used to push up prices of different cryptocurrencies on Bitfinex, by the look of things. It is evident this is causing some problems for a lot of people. Whether or not these concerns are justified, remains to be determined.

This has been a pretty eventful week for Tether, to say the least. Earlier, the company issued another 20 million USDT tokens. All of this digital money needs to be backed by collateral in US Dollars. Whether or not that is the case right now, is perhaps the biggest mystery in all of cryptocurrency. There is another problem people need to take into account, though. Last night, another 30 million USDT was added to the existing supply.

USDT Supply Continues to Increase Quickly

It is unclear where this sudden demand is coming from. That is, assuming the demand is legitimate, to begin with. There are some wild theories circulating on the Internet right now. No one can deny the USDT brought in circulation help keeps the Bitcoin price stable right now. Who controls this funds exactly, is a different matter altogether. It is certainly possible this influx of new tokens, is completely legitimate, although it is doubtful right now.

Surprisingly, these new tokens do not seem to affect the trading volume all that much. HitBTC is still the largest market, following by Poloniex, and Bittrex. Very few of the coins seem to make their way to Bitfinex right now. That is, assuming there is no secret order book containing information to explain this situation. There have always been some correlations between Tether and Bitfinex. Proving nefarious activity is difficult, though, and should be considered speculation at this point.

Overall, there is a reason to be concerned about the USDT supply right now. With so many new tokens being added in quick succession, things are not looking great. Then again, the company will hopefully have a decent explanation for this development. Right now, over 564m USDT exist. A staggering amount, to say the very least. Around 70% of those tokens are traded in daily volume right now. The demand seems genuine. Whether that is really the case or not, remains to be determined.

Tether is one of the most remarkable companies in the cryptocurrency space so far. Their business model revolves around issuing digital tokens pegged to fiat currency. Especially the USDT token is often used on cryptocurrency exchanges. Big was people’s surprise when the company introduced another 20 million USDT out of the blue. This move coincides with the Bitcoin price retracing over the past two days. It is not the first time we see these “coincidences” become apparent either.

There have been some questions regarding the behavior of Tether as of late. All of their digital tokens need to be backed up by the same amount of fiat currency. According to their latest financial report, things seem to add up. That was somewhat surprising, considering the company issued a few million new tokens in the same period. At that time, some people assumed it was done to prop up the Bitcoin price. Whether or not that is the truth or not, remains to be determined.

More Suspicious Behavior by Tether

Just last night, another 20 million USDT were brought into circulation. Once that happened, the Bitcoin price immediately recovered by $150. All of this seems to be somewhat “too convenient” to be a coincidence. Then again, if the financial statements add up, there is nothing to be concerned about. The bigger question is why these “cycles” seem to repeat itself during times at which the Bitcoin price is struggling. Right now, the price has recovered most of its losses sustained over the past 48 hours.

All of this makes Tether look pretty suspicious, to say the least. Moreover, Bitfinex isn’t entirely without blame in this regard either. Both companies seem to be working together quite well in an effort to pump the Bitcoin price. Creating artificial demand and trading volume isn’t an acceptable course of action, though. Sooner or later, things will effectively fall apart. Bitfinex will exit the US market very soon as well. There are far too many coincidences to think this is not coordinated in one way or another.

Rest assured a lot of people will keep a very close eye on Tether moving forward. There are a lot of concerns regarding their company and the rate at which they issue USDT these days. While it may be doubtful we will see another Gox affair, things aren’t looking that positive either. It will be interesting to see how all of this plays out in the coming weeks and months. New USDT in circulation always leads to a Bitcoin price push. It may be a coincidence if you believe in that kind of thing.

It is always interesting to keep an eye on tokenized fiat currency. Most people are aware of USDT, a virtual currency pegged to the US Dollar. It now seems the company has partnered with Ethfinex to step things up a bit. More specifically, they are bringing tokenized US Dollars to the Ethereum blockchain. Anyone can turn regular USD into tokens which can take cryptocurrency mainstream in the coming years.

Tether is a rather remarkable company when it comes to cryptocurrency and digital tokens. After all, they are best known for their USDT venture so far. Bringing a digitized US Dollar to the Ethereum blockchain is a pretty interesting development. Together with Ethfinex, this project will come to fruition in the next few months. All of these tokens are regular ERC20 tokens, which means they can be exchanged on the Ethereum network without too many issues.

Ethfinex and Tether Partner Up

Moreover, it also means these new tokens can be exchanged on decentralized exchanges. Especially companies such as Etherdelta will see a lot of demand for this new tokenized US Dollar. This should also eliminate the delays when using banks or other financial institutions to obtain digital US Dollars. It is a very interesting decision by both Ethfinex and Tether, that much is certain. For now, it appears these new tokens will also be known as USDT, albeit that may still change.

Ethfinex Project Lead Will Harborne states:

“The number of tokens and assets being tokenized on top of the Ethereum platform is growing rapidly, with many proving disruptive to traditional business models. By enabling all ERC20 compatible applications and protocols to integrate tokenized USD, we expect to see enhanced efficiency and further stability on the Ethereum network.”

The bigger question is how this venture will play out. Tether has become a big name in the world of tokenized currency already. However, they also face a bit of scrutiny due to the number of tokens created out of the blue not too long ago. It is not surprising to see them collaborate with Ethfinex either. It is a sister project of the Bitfinex team, who also support Tether and USDT. An interesting future awaits, assuming the Ethereum network can keep up with these new transactions. Moreover, we can only hope Tether provides proper balance sheets once this new tokenized currency is issued.

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The concept of Tether and their USDT tokens has always seemed strange. The company guarantees every USDT is pegged to the value of $1. Such claims are always pretty difficult to maintain over the long run. Especially when the company simply creates more Tethers out of the blue without proving they are all backed by a US Dollar value. Over the past few days, around 75 million Tethers have been issued. The latest batch saw 25 million USDT appear, which raises a lot of questions.

It is evident a digital currency pegged to fiat currency value will be successful. In the case of Tether, their USDT token has become a formidable asset. Many traders and speculators use it rather than dealing with US Dollars directly. However, the practices of the parent company raise a lot of questions right now. More specifically, they are showing a few traits exhibited by central banks. Adding new monetary supply on demand is a very dangerous practice, especially in the world of cryptocurrency.

Tethers Supply Keeps on Growing

On paper, every USDT is backed by $1 in reserves held by Tether. This explains why the supply has been growing at a rather slow pace. That situation has come to change in the past few days. With 75 million USDT issued all of a sudden, a lot of people are concerned. After all, these tokens need to be back by $75m in assets. It is unlikely that is the case right now. Moreover, the parent company has no plans to audit their balance sheet, let alone make the results public.

If these tokens are not backed by fiat currency, people will eventually lose money. If all USDT holders wanted to convert to USD right now, the company would be in serious trouble. Some people speculate these Tethers are issued to prevent the Bitcoin price from falling further. If that is the case, we have a new Mt. Gox scenario on our hands. No one knows for sure what is going on with Tether, though. Strange behavior like this will make a lot of people very wary of the company moving forward.

In a way, one could argue Tether is slowly becoming the central bank of cryptocurrency. Issuing new tokens on demand during times of financial “struggles” is a type of behavior we don’t need in crypto. Helicopter money isn’t welcome, nor is it needed. Markets will eventually correct themselves and determine their own direction. Tether has a lot of explaining to do, that much is evident. Increasing the supply by 75 million in a few days is never a good idea. Especially not without any warning or reasoning for doing so.