This weekend, due to Teter's mistake, investors received a reminder that the market infrastructure for the functioning of the crypto-vectors is still under construction.
On Saturday, the company behind Tether wrongly created more than $ 5 billion in cryptography at a time, which is more than twice the amount they had in circulation. This sudden flood of digital currencies scared investors on the market and reduced the price of bitcoin to 12%.
The Tether is designed to work digitally as a bitcoin, but is linked to the US dollar. UU so that the price is not fluctuating in an uncontrolled manner. Currently, around 3.9 billion dollars from Tether is in circulation. About 60% of the whole bitinine trade is made with Tether.
This mistake shows how easy it is to change the market for cryptoactive substances, one decade after the birth of Bitcoin. This error is the last black spot for Tether Ltd., the company behind Tether. In April, a New York lawyer lawyer said the company had used $ US $ 850 million worth of lost money to spend Tether dollars.
The problem that was raised on Tether Ltd. on Saturday. was because the exchange of the house of Polonix was to move $ 50 million from Tether from a block network called Omni to another called Tron.
Because the blocked networks register transactions of crypto-calibration, because they are not interoperable, therefore Polonix had to order a new tooth. (The new Tethers are issued in response to customer demand).
The employee at Tether Ltd., who was ordered to handle the order, accidentally created and sent Poloniex $ 5,000 million in the new Tether, instead of its equivalent of $ 50 million. This caused the $ 3.900 million in Tether to suddenly rise to $ 8,900 million.
Tether's technical director, Paolo Ardino, explained to Twitter that the mistake is due to the "problem with the symbolic decimals", a Polonix spokesman later confirmed the incident.
Tether Ltd. quickly fixed this error, immediately wiped out the $ 5 billion it created and sent Poloniex the right amount it requested.
Translated version of Paul Wign's article, published in WSJ.