Based on blockchain transaction knowledge offered by WhaleAlert.io on Nov. 10, Tether seems to have frozen 46,360,701 USDT ($46,274,472) owned by troubled cryptocurrency trade FTX in its Tron blockchain pockets. The transfer comes at some point after the U.S. Securities and Alternate Fee and the U.S. Justice Division started investigating FTX over its liquidity disaster.
A spokesperson from Tether said on Oct. 11 that the agency solely freezes privately held wallets when it agency receives a reputable request from a verified legislation enforcement agent to take action and that “we don’t freeze wallets of exchanges or companies.” If confirmed, the freeze imposed in opposition to FTX’s pockets could be the primary of its variety. The identical day, Japanese authorities ordered FTX to halt operations within the nation after the trade halted withdrawals.
Replace Nov. 10, 15:45 UTC: A Tether spokesperson to whom Cointelegraph reached out to said: “Whereas we can’t particularly remark, Tether routinely has an open dialogue with legislation enforcement companies, together with the U.S. Division of Justice, as a part of our dedication to cooperation, transparency, and accountability.”
“Amid rumors of insolvency at crypto trade FTX and worries concerning the monetary situations of Alameda Analysis, we wish to firstly, act as a mouthpiece for your complete crypto ecosystem and reiterate that one disaster doesn’t make an business.”
In response to a number of unconfirmed rumors that Tether held USDT publicity to the ailing trade, the spokesperson reiterated that Tether has no credit score in direction of FTX nor its affiliate buying and selling agency Alameda Analysis. “Tether tokens are 100% backed by our reserves, and the property which might be backing the reserves exceed the liabilities. Tether holds a robust, conservative, and liquid portfolio, which incorporates money, money equivalents, and U.S. treasuries,” the supply mentioned, including: “Tether will proceed to concentrate on safeguarding these reserves.”
It is a growing information story and shall be up to date accordingly.
