Federal Investigators Probe Cryptocurrency Firm Tether

Discussion in 'Crypto Assets' started by Baron, Oct 26, 2024.

  1. maxinger

    maxinger

    Years ago, everyone knew crypto things were the favorite money launderers.

    It will take months/years/decades to ban tether.


    Just look how hard it is for the US to ban TikTok.
    India banned Tiktok in just a few hours.


    What happened to the HSBC Money Laundering Scandal?
    You can take harsh action against HSBC / money launderers.
    But that would also affect the US.
     
    Last edited: Oct 26, 2024
    #11     Oct 26, 2024
  2. RedDuke

    RedDuke

    Tether is the world largest financial fraud.

    I predicted over 2 years ago that BDO Italia audit is just a sham.

    The company that represents over 75% of daily crypto volume can not pass an audit in over a decade.

    it will be very ugly one day.
     
    #12     Oct 27, 2024
  3. NoahA

    NoahA

    But notice they are only going after Tether for anti-money laundering. I think a cash settlement is about as bad as this gets.
     
    #13     Oct 27, 2024
  4. NoahA

    NoahA

    You must be pretty dumb to use language like this in a thread that @Baron started.
     
    #14     Oct 27, 2024
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  5. RedDuke

    RedDuke

    for sure. Just insane that everyone ignores this elephant in a room. The shit will hit the fan at the worst possible time.
     
    #15     Oct 27, 2024
  6. NoahA

    NoahA

    To be honest, I think banks are more insolvent than Tether. Even if they don't have 1:1 backing (and it can likely be even higher now from the 5% interest profits and bitcoin gains), they are still much healthier than banks with all that long duration debt that is very much in a loss. But obviously, they can print money to rescue banks, but if they don't want Tether to win, they can take it down. I just don't see this playing out. Its a symbiotic relationship now. If Tether is really used to launder lots of money (which likely isn't as high in absolute dollar terms vs. how much is used to launder via USD and regulated banks), the authorities don't want to lose access to this money trail. I honestly feel more confident that Tether is fine vs. BTC hitting $100k in 6 months.
     
    Last edited: Oct 27, 2024
    #16     Oct 27, 2024
    johnarb likes this.
  7. johnarb

    johnarb

    Yup, this. more than 50% of Tether usdt is in non-redeemable form
    • (locked in smart contract i.e. dex liquidity pool, or staking/deposit) or
    • cannot be redeemed (i.e. lost private keys) or
    • owned and used by market participants as moe/currency for goods and services in Asia, middle east, Brazil, Europe that are not and can never be direct customers of Tether allowed to redeem for USD
    • Involved in hacks/criminal investigation and locked by Tether via smart contract code
    The main issue is that Tether is making too much money, more than Blackrock, stablecoin business is very very very profitable with hardly any risk for the issuer

    Tether has utilized the efficiencies of the blockchain, less than 200 employees, let the code do work

    while USDC has a consortium of mostly TradFi corporations and partnerships and cross-promotions and incentives payments to participants... and has to IPO in order to have an exit plan paid for by the retail wall street

    while USDC is stuck in market cap, unable to grow, Tether keeps on growing and growing, printing and printing

    If Blackrock or JPM buys Tether and just leave the whole operations alone, that would probably be the best thing for everyone,

    I can see the investigations leading up to some kind of settlement like a partnership or merger with a US reputable corporation

    I do not see a flat out shutdown of Tether as that would be too much US Treasuries that would have to be dumped in a liquidation and a disruption in that continuous demand, it's not best for everyone

    My 2 satoshis, i know nothing, no financial advice


    upload_2024-10-27_13-54-0.png
     
    Last edited: Oct 27, 2024
    #17     Oct 27, 2024
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  8. https://search.justice.gov/search?affiliate=justice&query=Tether

    They might have not published anything on the audit yet, as it is nornally published when cases are solved.

    But look at the list of cases, if they are not going after Tether right now they will soon.
     
    #18     Oct 27, 2024
  9. johnarb

    johnarb

    Those cases are against scammers and hackers and criminal organizations

    Tether cooperates with worldwide courts and government agencies to freeze and recovery the funds


    upload_2024-10-27_15-56-27.png
     
    #19     Oct 27, 2024
    Tokenz likes this.
  10. MrMuppet

    MrMuppet

    ah...the annual Tether investigation. Nothing will happen, perhaps a fine. Worst outcome: US citizens won't be allowed to use Tether anymore but who needs them anyways?
    Firms are already offshore and retail can buy the ETF.

    Nothing to see
     
    #20     Oct 27, 2024
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