Sunday, March 21, 2021

Tether - Crypto Crime

Tether finds itself in the crosshairs of a fraud investigation by the New York Attorney General’s office. Multiple lawsuits have been consolidated into one class action alleging fraud by Tether and related Bitfinex.

Apparent losses of $850m is appearing to flow from co-mingled client and corporate funds. This is securities and commodities fraud.

In July founder Brock Pierce said he no longer owns any Tether stablecoin.
Bitfinex and Tether claim that the money is tied up in a series of asset freezes being enforced by multiple foreign governments. That claim may be tested soon as criminal indictments are expected any day.

The so called 'digital asset' appears headed for more troubled waters.