Tether and Bitfinex litigation ended

Tether (the issuer of the largest stablecoin USDT) and Bitfinex will no longer be able toProvide trafficking services to citizensNew York, in addition, both organizationswill have to pay $ 18.5 million in fines. In general, their two-year trial with the office of the attorney general of New York came to an end.

The proceedings began in April 2019,when the Attorney General's office in New York announced that Bitfinex had lost $ 850 million and secretly used Tether funds to cover losses to the Crypto Capital payment system.

In fact, the money was confiscated by government agencies in the US, Portugal, and Poland, and Bitfinex has been working to get it back ever since.

The prosecutor's office also said that both companies related to the cryptocurrency made false statements about the backing of Tether (USDT) with dollars:

"In violation of the law, Bitfinex and Tether hid huge financial losses in order to falsify their financial results.Tether's claims that its virtual currency has always been fully backed by U.S. dollars have proven to be lies.

These companies concealed the true risk faced by investors and were run by unlicensed and unregulated individuals and entities operating in the darkest corners of the financial system.- said Attorney General of New York Letitia James.

The conclusion said that her office had taken “measuresto end the illegal activities of Bitfinex and Tether in New York ", since both organizations will no longer be able to trade in the state. In addition, Tether and Bitfinex will have to pay the state $ 18.5 million in fines.

Tether has posted its own answer inwhich says that both companies are "pleased with the settlement of the litigation." In addition, it is reported that Tether and Bitfinex have been fully cooperating with the authorities over the past couple of years, in fact not acknowledging "any violations."

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