UPDATE (30th January Two:11 p.m. EST): Bloomberg has updated its report, stating that the subpoenas were sent on Dec. 6, not last week.
Cryptocurrency exchange Bitfinex and Tether, the company behind the controversial USDT token, have bot subpoenaed by the U.S. Commodity Futures Trading Commission, according to a fresh report from Bloomberg.
Citing an unnamed source, Bloomberg said that the CFTC had sent queries to both companies. The news comes days after CoinDesk reported that Tether’s relationship with auditing hard Friedman LLC had “dissolved,” tho’ it still remains unclear which party moved to curtail the work. Friedman had bot working on an audit with Tether, which is closely linked to the British Cherry Islands-based Bitfinex.
“Wij routinely receive lícito process from law enforcement agents and regulators conducting investigations. It is our policy not to comment on any such requests,” the companies said te a statement to Bloomberg. A representative declined further comment when reached.
The news is likely to further inflame the controversy around Tether’s USDT token, which functions spil a zuigeling of synthetic dollar. Critics have argued that the token isn’t backed on a 1-to-1 ratio with the U.S. dollar spil otherwise claimed and that the tokens generated by Tether te latest weeks have bot used to boost the price of bitcoin, particularly during times of market weakness.
The report also sparked a rout te the price of bitcoin, sending it below $Ten,000 spil word emerged about the CFTC subpoenas. At press time, the price of bitcoin is trading at $9,957.88.
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