One of the top 10 cryptocurrencies, also referred to as a stable coin in the crypto-verse, Tether (USDT) recently issued $50 million in USDT, that, as reported by the OmniExplorer, Tether transferred to Bitfinex, one of the leading cryptocurrency exchange platforms in the world, on August 11th, 2018, at 11 AM UTC.
That prompted the cryptocurrency enthusiasts to claim that Tether is once more engaged in cryptocurrencies market manipulation. The people have also said that Tether often issues more USDT coins when the crypto market is going bearish.
The allegation of manipulation came up because of John Griffin and Amin Shams, two investigators at the University of Texas. The investigators released an article titled “Is Bitcoin really Un-Tethered?” The paper discusses how Bitfinex is using Tether to purchase Bitcoin on other crypto exchanges and especially when the Bitcoin (BTC) price is falling sharply in the market.
That is not the first time when Tether (USDT) raises concerns and gets accused of market manipulation
A comprehensive 3-page release was launched in June as a result of Freeh, Sporkin & Sullivan LLP investigation on Tether (USDT). This company has been granted complete access to Tether’s bank information together with information regarding the number of employees who actually own a part of the company’s shares.
This transparency was required when they uncovered a whopping $7 million, higher than what was recorded in a spot check of the Tether’s bank accounts.
Changpeng Zhao, the CEO of Binance, the world’ s leading cryptocurrency trading platform, recently expressed his worries regarding the Tether (USDT) cryptocurrency. In his opinion, Tether only profits from its trading portals. He also thinks the company is afraid of being shut down, and for this reason, they do not divulge their bank details.
Also, Charlie Lee, the founder of Litecoin (LTC), frequently stated that as its tokens are dollar-backed, Tether purchases cryptocurrency using these USDT tokens.
Jackson Bey was born and raised in Lethbridge Alberta but moved east when he was 22. Apart from running his own consulting firm. Jackson spends his time canoeing the many lakes of Ontario. As a financial journalist Jackson has published stories for CBC Business Online, as well as Buzz Feed and Motherboard. As a contributor to Billionaire 365, Jackson mostly covers markets and trade.