What evidence does Tether provide to refute the WSJ report on using fake documents?

What evidence does Tether provide to refute the WSJ report on using fake documents?

Mining Showcase Tecnology
October 6, 2022 by Admin
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Tether Refutes WSJ Report On Using Fake Documents To Gain Banking Access Introduction Recently, the Wall Street Journal published an article claiming that Tether – a popular stablecoin – used fake documents to gain access to banking services. However, Tether has strongly refuted these allegations, stating that the company has always conducted its business with
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Tether Refutes WSJ Report On Using Fake Documents To Gain Banking Access

Introduction

Recently, the Wall Street Journal published an article claiming that Tether – a popular stablecoin – used fake documents to gain access to banking services. However, Tether has strongly refuted these allegations, stating that the company has always conducted its business with integrity and transparency. In this article, we will explore the claims made by the WSJ and examine Tether’s response to the accusations.

Background

Tether is a cryptocurrency that is pegged to the value of the US dollar. This means that 1 Tether is always worth 1 US dollar, making it a popular option for traders who want to avoid the volatility of other cryptocurrencies. Tether has been around since 2015 and is currently the fourth-largest cryptocurrency by market capitalization.

However, Tether has been the subject of controversy in the past. In 2018, the New York Attorney General accused Tether of covering up a loss of $850 million in customer funds. Tether denied the allegations and reached a settlement with the NYAG in February of this year, agreeing to pay a fine of $18.5 million.

The Allegations

The Wall Street Journal article published on November 30th, 2021, claimed that Tether used forged documents to open accounts at various banks, including Deltec Bank & Trust Ltd. The article cited anonymous sources who claimed to have seen the fake documents and detailed how Tether employees allegedly created them.

The article also suggested that Tether’s banking relationships may be at risk if these allegations are true. Banks are subject to strict anti-money laundering (AML) regulations and could face fines or legal action if they are found to be doing business with companies that violate these rules.

Tether’s Response

Tether has strongly denied the allegations made in the WSJ article. In a statement posted on its website, the company said that it “categorically denies” the claims and that the article contained “inaccuracies and false statements.”

Tether also pointed out that it is regularly audited by third-party firms, which have not found any evidence to support the allegations. The company said that it has “always conducted its business with the highest degree of transparency and integrity” and that it takes compliance with AML regulations very seriously.

Conclusion

The allegations made by the Wall Street Journal against Tether are serious and could have significant consequences for the company if they are found to be true. However, Tether has strongly refuted the claims and pointed out that it is regularly audited by third-party firms to ensure compliance with regulations. Only time will tell how this situation will unfold, but for now, traders and investors will be watching closely to see how it develops.

Sources