Tether is completely and utterly toxic to US banks. So much so that when they bought Noble bank in Puerto Rico, Noble was driven into bankruptcy because their US mainland correspondent bank cut them off instantly and absolutely nobody would touch the relationship. There was an entire saga with them trying to find a US correspondent bank, and getting shut down by each and every one, one at a time. I can say with total and complete confidence that there is no correspondent bank in the US. Remember, this is why they had to bank with money launderer CryptoCapital in the first place.
Further, one of the Tether clowns has stated his defense for printing huge piles of Tether on a Saturday morning is that all of the major exchanges and OTC desks actually have accounts with Deltec and they're doing an intra-account transfer. [edit] it was Paolo.
Last, in their weird vlog post, someone at Deltec admitted they had a huge stake in Bitcoin, which more than likely represents the assets "backing" Tether. They printed tether, bought bitcoin with it, drove up the price, and used it to back their tokens.
You should be utterly and totally terrified of Tether and anyone who tells you otherwise is trying to sell you a bridge.
[edit] FWIW, I've heard rumors of them buying up small community banks in the US to force them to take on the relationship. You know, like money launderers do. That's the only way I could see them having a US routing number.
Big Alveis dos Reis energy: if you print enough money you can just buy yourself a bank and make yourself legitimate!
I wonder if Tether will hit $100bn before they go bang. I'm also reminded of how pyramid schemes took out the entire economy of Albania in the post-communism era ...
Further, one of the Tether clowns has stated his defense for printing huge piles of Tether on a Saturday morning is that all of the major exchanges and OTC desks actually have accounts with Deltec and they're doing an intra-account transfer. [edit] it was Paolo.
Last, in their weird vlog post, someone at Deltec admitted they had a huge stake in Bitcoin, which more than likely represents the assets "backing" Tether. They printed tether, bought bitcoin with it, drove up the price, and used it to back their tokens.
You should be utterly and totally terrified of Tether and anyone who tells you otherwise is trying to sell you a bridge.
[edit] FWIW, I've heard rumors of them buying up small community banks in the US to force them to take on the relationship. You know, like money launderers do. That's the only way I could see them having a US routing number.