[Taklimakan Blog] The Clouds Are Gathering. Tether Demanded Documents for a $1 Billion Loan

The company that issues USDT tokens has been in court since 2019, but it still has not provided the information required by the US authorities. The prosecutor said he would no longer tolerate delays. According to experts, there is a significant risk of a decline in the stablecoin rate.

Tether and its stablecoin USDT are key players in the cryptocurrency market. The token rate is pegged to the US dollar, so traders often use it to wait out the fall in the price of bitcoin and other digital assets.

Now USDT is ranked third in the ranking of digital assets by capitalization. At the moment, proceedings are underway against Tether, as well as the associated Bitfinex exchange. In 2019, Bitfinex lost access to the funds of its clients in the amount of $1 billion.

To continue functioning, the site took a loan from Tether. Then the US authorities demanded documents from the firms on this transaction, but the companies did not provide the basic requested information, only formal data.