Will Tether FUD Continue After New York AG Document Burial?

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Last Updated on 21 January 2021 by CryptoTips.eu

Jeroen Kok

Jeroen is one of the lead copywriters on Cryptotips.eu and discusses all recent events in the crypto market. This includes news updates, but also price analyzes and more. He developed his passion for cryptocurrency during the bull run in 2017. He has learned a lot since then. The combination of cryptocurrency and creative writing is perfect for Jeroen and an excellent way to share his knowledge with a wide audience. Find me on LinkedIn / jeroen@cryptotips.eu
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When you are involved in a court proceeding against a government institution and respond by sending the other party some 2.5 million documents to look through, chances are that onlookers will think either of the following two possibilities: you are trying to bury the other party in paperwork so that the case drags on or, you are being very forthcoming in your response and don’t want to be blamed afterwards of having overlooked something.

In the case of Tether (USDT), the stablecoin pegged to the US dollar that is under investigation by the New York Attorney General, this is exactly what happened. On a side note, if that strategy works, we already wonder how many documents XRP will provide to the SEC to respond to their complaint.

But back to Tether, which has become sort of the backbone of the entire crypto economy. At the moment, Tether Limited and the Tether cryptocurrency are being named as controversial in certain media outlets because some claim that it is able to manipulated the price of bitcoin. On Twitter, the term TetherFUD (Fear, Uncertainty and Doubt) has been trending for days.

Advertentie.

Discussions going well

Stuart Hoegner, who tweets with the moniker Bitcoinlawyer, has been appointed as Tether’s General Counsel. He stated in response to demands from the cryptosphere that the “discussions with the AG’s office are productive and going well.”

Tether CTO Paolo Ardoino meanwhile expressed his thanks to many in the cryptosphere who stand by the coin as the New York justice personnel continues their investigation.

Dan Held, who represents the Kraken platform and always has interesting ideas to share with the cryptosphere, recently added in defense of Tether that:

Worries that one stablecoin, which only represents 3% of Bitcoin’s market cap, could hurt Bitcoin by going bust is absurd.

Whatever may be the outcome, with both Tether and XRP now under investigation, looks like we have follow-up to the crypto court case of 2020, aka the case of FakeSatoshi Craig Wright, on our hands.

Expect lots of follow-up in the weeks to come.