TechFlow news — On September 9, the New York Attorney General's Office (NYAG) demanded that Tether and Bitfinex immediately submit documents detailing information about credit lines and corporate relationships between the two companies. According to NYAG's prior investigation into the firms, USDT stablecoins were backed by only about 74% in U.S. dollar reserves during a certain period. However, Tether claims its tokens are fully backed, without specifying the composition of its dollar reserves. Earlier reports indicated that in April 2019, New York prosecutors accused Bitfinex of losing $850 million in customer and company funds, then using the affiliated stablecoin Tether to cover up the financial shortfall. Subsequently, Tether and Bitfinex filed an appeal, but it was rejected by the court in July 2020. The court upheld its ruling, requiring both companies to provide information regarding credit extensions and their relationship. (CoinDesk)
Risk Disclosure: This website's content is not investment advice and offers no trading guidance or related services. Per regulations from the PBOC and other authorities, users must be aware of virtual currency risks. Contact us / [email protected] ICP License: 琼ICP备2022009338号
