Altcoins

Tether and Bitfinex Push Back on Crypto Market Manipulation Lawsuit

from Crypto Globe 4 years ago 0 0 927

Tether and Bitfinex have released statements about their ongoing lawsuit.

Both companies attack the use of unpublished research showing potential market manipulation

In a blog post published Oct. 5, stablecoin creator and USDT issuer Tether announced that it anticipates a “meritless and mercenary lawsuit” in regards to the company’s role in crypto market manipulation.

Tether and its close association with crypto exchange Bitfinex have been under scrutiny for years over the potential for market manipulation. In the post, Tether indirectly addressed an unpublished research paper implicating the company in a potential scandal of manipulation and arbitrage.

The stablecoin maker responded,

Tether is aware of an unpublished and non-peer reviewed paper falsely positing that Tether issuances are responsible for manipulating the cryptocurrency market. Tether vigorously disputes the findings and conclusions claimed by that source, which rely on flawed assumptions, incomplete and cherry-picked data, and faulty methodology.

Tether went on to say it fully expects “mercenary lawyers” to use the “deeply flawed paper” as evidence in their ongoing lawsuit.

Crypto exchange Bitfinex, who has been tied up with Tether in accusations of market manipulation, released a nearly identical statement later in the day.

According to the Bitfinex post,

These baseless accusations are an attempt to undermine the growth and success of the entire digital token community, of which Bitfinex and Tether are key parts. It is an attack on the work and dedication of not just Bitfinex's stakeholders, but thousands of our colleagues, too.

Both Tether and Bitfinex remain committed to defending themselves vehemently against their pending lawsuit by the New York Attorney General’s Office, which accuses the two companies of carrying out fraud in relation to USDT’s exact backing.