In line with a recent announcement published, the group behind the cryptographic stablecoin Tether [USDT] declared it had found a new banking partner, confirming rumors it might use Bahamas-based Deltec Bank & Trust. Tether [USDT] had suffered from mixedallegations that it hadpartedwayswith previousfinancial institutionNoble Bank,conjointly alsonotedwithin thestatement that its fullfinanceswas backed byUSD.
Explaining further, the statement further added:
“Tether [USDT]within themarketaretotallybacked byUnited Statesgreenbacksthataresafely deposited in our bank accounts.”
Despite the deal beingactualpublic knowledgeforseveralweeks, Tether explained Deltecagreedto bank it “after their due diligence review of our company.” The statement continues:
“Thisenclosed, notably,ananalysis of our compliance processes, policies and procedures; a full background check of the shareholders,finalbeneficiaries and officers of our company; and assessments of our abilityto take care ofthe USD-peg at any moment and our treasury management policies.”
The amount of Tether [USDT]currentin markets was significantly reduced recently,whenfurtherrumors begansurroundingover crypto exchange Bitfinex’seconomic conditions,the 2firmssharing achief executive officer.
However at the same time, the stablecoinbusinesshasgrownupveryquicklyin recent months, witha tiny lowswathe ofchallengerUSD-backed coins gaining traction on major exchanges,together withOKEx and Huobi, in October.