The Issuer is tied to the US dollar stablon USDT Tether Limited the company has officially confirmed the collaboration with Deltec Bank, a small financial institution with the Bahamas. The company also submitted a letter, on the basis of which it has sufficient funds to provide the total volume released token USDT.
We are pleased to be able to confirm that the Tether has an account with Deltec Bank & Trust Limited https://t.co/LSn64soUsC . Balance confirmation at 2018-10-31 attached.
— Tether (@Tether_to) 1 November 2018
“Tether Limited is pleased to confirm that established relations with Deltec Bank & Trust Limited, a financial institution with 72 years of history and headquartered in the Commonwealth of the Bahamas” — said in a statement.
It is also noted that Tether Limited was accepted as a client Deltec thorough check of the company. Allegedly, this included analysis of the processes, policies and legal compliance, a full scan of information about shareholders, ultimate beneficiaries and managers of Limited Tether, and also to assess the company’s ability to maintain the peg to the U.S. dollar at any point in time and its policy of reserve management
“Testing took several months and gave positive results that enabled us to open a Bank account in this institution. Deltec conducts audits of our company on a regular basis,” — added in the Tether.
Tether the statement also says that the company is registered in the Network to combat financial crimes (FINCEN) and the Department of the Treasury and adheres to the highest standards in terms of procedures aimed at combating money laundering and financing of terrorism.
The message is accompanied by a reference to the letter from Deltec Bank, which States that at the time of the end of the day October 31, 2018 cash value account Tether was $1 831 322 828.
“This letter is provided without any warranty on our part and is based solely on the information that is available,” the document reads.
Thus, based on this letter and taking into account the current capitalization USDT ($1,772 billion), Tether really has sufficient funds to provide the entire volume of produced tokens. The question of whether they were provided at all stages of activity of the company remains, however, open.
Also notes on the above letter, contrary to the accepted practice, there is no signature of any officers of the Bank.
That Tether could find a banking partner in the Bahamas, first became known in mid-October. Then it was reported that affiliated with Tether Bitfinex team has partnered with the Hong Kong Bank of Communications, partly owned by the financial conglomerate HSBC Holdings. This information, however, while the confirmation is not received.
We will remind, last month the token USDT market capitalization fell by more than $1 billion.