Tether has its bank deposits confirmed by law firm

20 Jun, 2018
by Salahuddin Uqaili
Tether has its bank deposits confirmed by law firm

According to a Bloomberg report, Tether has just had it’s bank deposits confirmed by a law firm co-founded by former FBI director Louis Freeh.

Freeh Sporkin & Sullivan LLP, the law firm, was given access to tether’s bank accounts and has released data regarding the holdings of Tether Ltd (the company behind Tether) on June 1, 2018. The data indicates that there was 2.54 billion USD in the company’s bank accounts- in line with the value of all Tether tokens currently in the market.

However, this does not mean that Tether has been audited- with Tether’s general counsel, Stuart Hoegner stating that “The bottom line is an audit cannot be obtained. The big four firms are anathema to that level of risk. We’ve gone for what we think is the next best thing.”

Hoegner is referring to the reticence of Ernst & Young, Deloitte & Touche, KPMG and PricewaterhouseCoopers to audit any company operating in the crypto market. This news follows that of a Texan professor concluding that  Tether was complicit in a scheme related to the artificial inflation of Bitcoin’s value in 2017.

Tether CEO JL van der Velde has once again denied any wrongdoing and wrote in an email: “Despite speculation, we have consistently stated that Tether is backed by USD reserves at or exceeding the Tethers in circulation at a given moment, and we’re glad to have independent verification of this to answer some of the questions posed by the public.”

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Read more about: Tether (USDT)

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