<story><title>Crypto.com will delist Tether in Canada to comply with Ontario regulator</title><url>https://decrypt.co/118812/crypto-com-delist-tether-canada</url></story><parent_chain></parent_chain><comment><author>polygamous_bat</author><text>I think people are underestimating the problems that a blanket Tether ban from North American markets would cause. You think a Tether ban would cause people to switch to USDC? Ok, but that means some Tether needs to vanish and some USDC needs to be created. How does that happen? Ideally, it goes from Tether -&amp;gt; USD -&amp;gt; USDC... and there lies the problem. We don&amp;#x27;t know if there is enough USD in Tether&amp;#x27;s coffer to redeem all the withdrawals. And if there is not, or even if there is a doubt about it, then it becomes a game where the last person to withdraw loses. How would that look for crypto in general? How would people react to USDC if they or someone they know just got burned by another stablecoin last week?</text></comment>
<story><title>Crypto.com will delist Tether in Canada to comply with Ontario regulator</title><url>https://decrypt.co/118812/crypto-com-delist-tether-canada</url></story><parent_chain></parent_chain><comment><author>cwkoss</author><text>I wonder how Tether getting broadly delisted would impact crypto prices.&lt;p&gt;Theoretically, its cash on the sidelines, so shouldn&amp;#x27;t impact the price.&lt;p&gt;Increases the likelihood of tether imploding as withdrawals shrink the proportional size of any reserve issues. That could certainly create a lot of negative attention, raising fear and dropping price.&lt;p&gt;Practically, I think tethers are often cash set aside &lt;i&gt;for purchasing crypto&lt;/i&gt; in the future, so I wonder if this will lead to a significant portion USDT converting into BTC and other cryptos to become more &amp;#x27;liquid&amp;#x27; in terms of transferability within the crypto banking system.  (Not all exchanges people hold Tethers on are necessarily hooked up to their banking info for a wire transfer).  Some might trade to BTC to move the value, which could increase price.&lt;p&gt;Who knows, will be interesting to see how it plays out if&amp;#x2F;when it plays out.</text></comment>