• Tether
    Bitcoin,  Tether

    Tether’s bank issues letter, critics pounce

    Deltec’s says Tether has $1.8 billion in bank, but letter adds fuel to fire

    In recent weeks, more than half of all bitcoin trades took place against Tether. Yet few knew for certain if there were dollars backing those tokens. This week, Tether released a letter from its bank, Bahamas-based Deltec, saying, “We hereby confirm that, at the close of business on October 31, 2018, the portfolio cash value of your account with our bank was US$1,831,322,828.” That amount was nearly $55 million above the amount of Tether tokens in circulation. Over and done with, right? Not exactly. Crypto Twitter talmudicly began parsing the letter, particularly the second part, which reads: “This letter is provided without any liability, however arising, on the part of…

  • Bitfinex repays tether
    Media,  Tether

    Bitfinex’s new tactic: Attack journalists

    Tether’s sister company goes after reporter who published something they didn’t like

    Bitfinex, the embattled exchange with a reputation for opaqueness, has taken on a combative approach against journalists—specifically, targeting one from a big name in crypto reporting. About a week ago, CoinDesk’s David Floyd began focusing on the crypto soap opera that is Bitfinex and Tether. On October 19, he wrote a piece about how traders were moving their Tether tokens on to Kraken. It appears those traders were then selling their tether for U.S. dollars because the exchange rate touched a low of 85 cents. “With users apparently unable to convert their USDT into dollars in the way envisioned by Tether’s white paper, they seem to be trying to accomplish…