A Tether is an IOU for a dollar right? So long as you have one USD per Tether issued you can always redeem your outstanding IOUs.
I acknowledge the complexities of investing that collateral in more or less liquid instruments, but in principle the notion appears sound. I'd be happy to give you an interest free IOU in any amount you like if you provide me cash money for that nominal value in exchange.
I acknowledge the complexities of investing that collateral in more or less liquid instruments, but in principle the notion appears sound. I'd be happy to give you an interest free IOU in any amount you like if you provide me cash money for that nominal value in exchange.