- Tether in its blog post denied all the false allegations against Bitfinex, Tether, and their related organizations.
- There was no involvement of foul play or manipulation even though there was an accusation of market manipulation.
- The companies say that they will vigorously act to ensure the counter of false allegations against their customers, stakeholders, and the Crypto community.
On June 4, tether in its blog post denied all the false allegations against Bitfinex, Tether, and their related organizations. Additionally, the false allegations made against them in a case filed in the Southern District New York Court were consolidated through a class-action lawsuit.
Bitfinex and Tether denounce baseless lawsuit designed to undermine the cryptocurrency community ⬇️https://t.co/7uNKWpscCG
— Tether (@Tether_to) June 4, 2020
What was the lawsuit about?
There was an alleged merger of lawsuits of untrue and conspiracy theories together in an effort to support allegations. The general counsel of Bitfinex said that even after trying to negotiate with the plaintiff over a period of three months there was no progress. Moreover, the plaintiff’s allegations remained unchanged to both the fact or the law.
The plaintiff involved three other big cryptocurrency exchanges. A secret scheme plotting took place for the manipulation of the digital currency market. The only thing consistent in the plaintiff’s claims is that of a lack of actual proof. Claims are of apparently handpicking of the arguments and putting them together to interlace an elaborate story. Neither the truth nor proofs backed these arguments.
There was no foul play or manipulation involved even though they were accused of market manipulation. The actual working coupled with the financial backing of Tether and Bitfinex, general proposition, supply and demand principles, and publicly available information confirms the claims were false.
What do the companies have to say?
The Tether company said that it is proud to play a vital role in the cryptocurrency ecosystem. The false and baseless lawsuit is a disrespect to the company’s customer. It was also an insult to the innovation and success of the entire digital token industry. Bitfinex and Tether said that they will strongly work to protect themselves. They will vigorously act to ensure the counter of false allegations against their customers, stakeholders, and the Crypto community. The company lastly, also pointed out at Tether’s purpose of establishment, to reinforce stability and not volatility.