Crypto.com will delist Tether in Canada to comply with Ontario regulator
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 -> USD -> USDC... and there lies the problem. We don't know if there is enough USD in Tether'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?