{"id":7290,"date":"2022-09-21T10:19:49","date_gmt":"2022-09-21T10:19:49","guid":{"rendered":"http:\/\/cryptoheretostay.com\/?p=7290"},"modified":"2022-09-21T10:19:49","modified_gmt":"2022-09-21T10:19:49","slug":"new-york-judge-orders-tether-to-document-usdt-backing","status":"publish","type":"post","link":"https:\/\/cryptoheretostay.com\/?p=7290","title":{"rendered":"New York Judge orders Tether to document USDT backing"},"content":{"rendered":"<script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"crypto\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script>\n<p>The judge for the United States District Court for the Southern District of New York, Katherine Polk Failla, ordered Tether to prove 1-to-1 backing of its eponymous stablecoin, Tether (USDT). The company is required to provide \u201cgeneral ledgers, balance sheets, income statements, cash-flow statements, and profit and loss statements\u201d and other documents to the court.\u00a0<\/p>\n<p>The order was published on Sept. 20 as a part of a case that started back in 2019 \u2014 the initial complaint by a group of investors against iFinex, Tether and Bitfinex&#8217;s parent company, alleged that the firm manipulated the crypto market by issuing unbacked Tether\u00a0with an intention to inflate the price of cryptocurrencies like Bitcoin (BTC). <\/p>\n<p>Judge Polk Failla dismissed the iFinex requests to block the order on the grounds that the company has earlier produced the documents \u201csufficient enough\u201d for the Commodity Futures Trading Commission and the New York Attorney General. She found that the Plaintiffs\u2019 demand for \u201cundoubtedly important\u201d documents is well-established as they \u201cappear to go to one of the Plaintiffs&#8217; core allegations.\u201d<\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>Tether USDT stablecoin goes live on Near Protocol to boost DeFi presence<\/em><\/strong><\/p>\n<p>Previously, in September 2021, Judge Polk Failla dismissed the Plaintiffs\u2019 claims against iFinex under the Racketeer Influenced and Corrupt Organizations Act and allegations related to racketeering or using the proceeds of racketeering for investments.<\/p>\n<p>In February 2021, in another case\u00a0settled with the Office of the New York Attorney General, iFinex agreed to pay $18.5 million for damages to New York and submit to periodic reporting of their reserves in addition to stopping service to customers in the state. The settlement came after a 22-month inquiry into whether the company had been trying to cover up its losses \u2014 touted to be worth $850 million \u2014 by misrepresenting the degree to which its USDT reserves were backed by fiat collateral.<\/p>\n<p><script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"bitcoin\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n<br \/><a href=\"https:\/\/cointelegraph.com\/news\/new-york-judge-orders-tether-to-document-usdt-backing\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The judge for the United States District Court for the Southern District of New York, Katherine Polk Failla, ordered Tether to prove 1-to-1 backing of its eponymous stablecoin, Tether (USDT). The company is required to provide \u201cgeneral ledgers, balance sheets, income statements, cash-flow statements, and profit and loss statements\u201d and other documents to the court.\u00a0 [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":7291,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_wp_rev_ctl_limit":""},"categories":[2],"tags":[],"class_list":["post-7290","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-bitcoin-news"],"_links":{"self":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/7290","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=7290"}],"version-history":[{"count":1,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/7290\/revisions"}],"predecessor-version":[{"id":7292,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/7290\/revisions\/7292"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/media\/7291"}],"wp:attachment":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=7290"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=7290"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=7290"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}