Bitfinex announced the launch of new stablecoin pairs including USDT/USD and EURT/EUR. This means that the historical guarantee and 1:1 peg of Tether / US Dollar is no longer applicable.
Despite the change Bitfinex states that:
“All existing USD balances on Bitfinex will remain fiat and unaffected by this change.”
Any Tether deposits initiated before 14:30:00 UTC on the 27th of November will be credited to the user’s fiat wallet balances, whereas Tether deposits initiated after this cut-off time will be credited as Tether (USDT).
The effect so far has been a decrease in the price difference of the USDT/USD across other exchanges and seems to slowly be reducing arbitrage opportunities between Bitfinex and other exchanges.
As always when Bitfinex makes sudden and unexpected changes, we see a mixture of reactions across social media. And maybe something for Bitfinexed to write home about.
Let us know if this change has affected you, positively or negatively.