Re:U.S. Launches Criminal Probe into Bitcoin Price Manipulation
by FireBeyond on Thursday May 24, 2018 @06:03PM
(#17148881)
Right, not to mention that phase 3-6 months ago where they were supposedly injecting several rapid (a few times a week) multi-hundred million dollar issuances. That's the kind of thing that raises red flags. "Hey, Mr Banker, here's $200M USD", three days later, "Hey, I have another $150M for you", and a few days after that, "Another $150M. Business is go-ooo-d!".
Re:U.S. Launches Criminal Probe into Bitcoin Price Manipulation
by otoburb on Thursday May 24, 2018 @04:39PM
(#17148199)
>>If a bank handles U.S. dollars, they are under U.S. jurisdiction.
I've always thought of Tether as the loose cryptocurrency equivalent of a eurodollar[1] facility. If the eurodollar was Bitfinex's original inspiration, then Bitfinex probably thought that keeping their USD deposits (which allegedly back Tethers 1:1) in custody of foreign banks (i.e. non-US domiciled banks) would place them outside of US jurisdiction.
Re:U.S. Launches Criminal Probe into Bitcoin Price Manipulation
by throwawaylolx on Friday May 25, 2018 @06:19AM
(#17152083)
Have you looked at any of the links I posted? https://blog.bitmex.com/tether-addendum-new-financial-data-r...
There is no way Bitfinex has $2.2 billion in bank accounts. If a bank handles U.S. dollars, they are under U.S. jurisdiction. Bitfinex cannot show who own Tether; that makes beneficial ownership tracing, rules surrounding which became stronger twelve days ago, impossible.
Had they picked any other currency, the claim could have been plausible. But $2.2 billion in anonymously digital U.S. dollars? (Physical cash, too, might have been plausible.) Not likely.