Twitter Handle KJ@knmjohansson expressed:  “Bitcoin and cryptos are in one massive Ponzi scheme type bubble due to many reasons, one in particular – Tether (USDT). There are so many scams and shady behavior yet little has been done to stop them as the space has been largely unregulated. China is way ahead of the USA here.

Tether is a fraud on the scale of Madoff or Enron and we’re in the middle of a bubble for the history books. But what caused this cryptocurrency bubble? Today we’re going to dive into a core driver, and likely the largest Ponzi scheme in history.”

Community response:  Result: USDT down USDT denominated assets down ALL other USD denominated crypto assets will sky rocket up. Yesterday’s flash crash liquidated 1bn USD worth of positions. Nothing happened. There will be no Domino effect.

Tether is the perpetual bitcoin FUD that will never go away.

So, the conversation was about Kristian Johansson’s blog on The Domino Effect of Tether and Bitcoin. The blog points to how there is less media coverage about Tether.

Kristian Johansson points to some mainstream articles titled:  The Weird World of Bitcoin Whales:  The 2500 people that control 40pc of the market; The NYPD investigation that might shake up the cryptocurrency market; Bitfinex, the Italian Network Behind the big that makes Bitcoin’s Tremble, the asymmetric mechanisms of Tether and several others.

He is trying to make a point that Bitcoin advocates are ignoring Tether while not giving much voice to those raising the issues related to Tether and its effect on the price of Bitcoin.

Kristian Johansson establishes that the Domino effect of the collapse in Tether, then Bitcoin, could lead to more bubbles popping.  The domino effect states that when you make a change to one behavior it will activate a chain reaction and cause a shift in related behaviors as well.

He also states, “Any company that dips it’s toes, feet, or entire company (i.e. MicroStrategy) in to Bitcoin or cryptocurrencies is thus also tied at the hip to the Tether-inflated Bitcoin & cryptocurrency bubble.”

He also points to how Google Trends for “Bitcoin” and “Tether” is painting an interesting picture. He states that Tether is artificially stimulating demand by pushing the price of Bitcoin even higher. Thus, establishing that Tether as a single entity dominates the price of Bitcoin.

He finally concludes stating the end is nearer with Tether/Bitfinex and the NYAG investigation. Reportedly, Crypto exchange Bitfinex and stablecoin operator Tether have requested the New York court to compel the state’s attorney general to deny a request for information submitted by crypto industry publication CoinDesk.