U.S. Regulators Subpoena Crypto Exchange Bitfinex And Tether
Earlier this week, a spokesperson for Tether, the cryptocurrency that is pegged to the US dollar, said that the company was dissolving its relationship with its auditor.
The statement read:
"We confirm that the relationship with Friedman is dissolved. Given the excruciatingly detailed procedures Friedman was undertaking for the relatively simple balance sheet of Tether, it became clear that an audit would be unattainable in a reasonable time frame. As Tether is the first company in the space to undergo this process and pursue this level of transparency, there is no precedent set to guide the process nor any benchmark against which to measure its success."
Since the statement was released, there has been growing suspicion that Tether has been printing money out of thin air because they were having trouble keeping up with demand with their own assets.
Just today, those suspicons grew when it was announced that The U.S. Commodity Futures Trading Commission sent subpoenas to Bitfinex and Tether earlier this month, as the team behind Bitfinex is also responsible for Tether.
“We routinely receive legal process from law enforcement agents and regulators conducting investigations,” Bitfinex and Tether said Tuesday in an emailed statement to Bloomberg. “It is our policy not to comment on any such requests.”
https://www.coindesk.com/tether-confirms-relationship-auditor-dissolved/
(sources for article are hyperlinked at the site above)
++++++++++++++++++++++++++++++++++++++++++++++++++++
Please upvote, follow and resteem if you enjoyed my article and I will return the favor in the comments, even if you happen to disagree with me, I welcome and upvote all good discussion!
John Vibes is an author and researcher who organizes a number of large events including the Free Your Mind Conference. He also has a publishing company where he offers a censorship free platform for both fiction and non-fiction writers. John just won a 3-year-long battle with cancer, and will be working to help others through his experience, if you wish to contribute to his medical bills consider subscribing to his podcast to support at https://www.patreon.com/johnvibes
Time to cut the Tether apparently .
Great crypto new @johnvibes
I still have a feeling tether is here to stay.
I understand that Tether is mainly used to facilitate crypto trading. Is that's correct, they should have a secure placement in the market. I.M.O.
yea well the issue gets more complicated when you throw bitfinex into the mix, and the accusations pointed towards their business practices as an exchange. Its funny, since they own both, it would be beter to just create a bitfinex coin pegged to the dollar, could have avoided so much heat. But this issue is nothing new, Tether has been in the crosshairs of a lot of regulators as well as investors pushing for more transparency. I removed my portfolio from bitfinex and I dont trade with tether pairs. I advise the same to you.
Thanks for the heads up. There are other options out there with less heat right now so that seems smart.