Alternatively, You could make the argument that what Bitfinex has done here is really smart. It's really expensive, engineering & risk wise, to setup payout links at consumer scale. There really is no difference between me holding Tether's and holding a USD balance on Coinbase. But in actuality Coinbase is in more danger here than Bitfinex. If all the Coinbase users cashed out, they'd be unable to payout, but Bitfinex is secure from this.

This is the pattern we will see moving forward. Robot Cache is adopting it, and we'll see more. It'll be easy to put money into crypto, move crypto around and trade crypto. But to get money back out as real physical money will always be a hard problem, and I predict it will come down to a distributed effort by the banks. I'll walk into my branch and they'll transfer X USDT to they're account from mine and hand me physical dollars.