Tether is resisting a report alleging those backing its stablecoin project forged documents to stay connected to the banking world.
In a new blog post, Tether refutes a story published by the Wall Street Journal alleging financiers of its widely traded stablecoin and its crypto exchange Bitfinex have used forged documents and shell companies to open bank accounts.
“The Wall Street Journal’s report on old allegations from long ago is completely inaccurate and misleading. Bitfinex and Tether have world-class compliance programs and adhere to applicable anti-money laundering, know your customer and terrorist financing legal requirements.
Bitfinex and Tether are proud partners of global law enforcement and routinely and voluntarily assist the US Department of Justice and other law enforcement organizations around the world in preventing money laundering, terrorism and other crimes committed by bad actors.
These unfair attacks will not stop us from continuing those efforts and providing the most liquid and reliable stablecoin experience, which the market has clearly recognized by making us the leaders in the industry.”
The Wall Street Journal reports that in 2018, those behind Tether reportedly turned to forged documents and shell companies to ensure they were not blocked by the traditional financial system and were able to continue making deposits and withdrawals.
An email reportedly sent by Stephen Moore, an owner of Tether Holdings Ltd, said that a major Tether trader in China was trying to “bypass the banking system by providing fake bills of sale and contracts for every deposit and withdrawal,” according to the report.
According to the report, Moore also sent an email telling them to stop using fake sales invoices and contracts.
“I would not argue the above in a potential fraud/money laundering case.”
The news publication also reported that Tether is currently under investigation by the US Department of Justice and the Manhattan US Attorney’s Office.
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