- Tether has moved $37 billion of its reserves to Capital Union Bank in 2021.
- The transfer of the share followed the company’s settlement with the New York Attorney General’s office.
- The company has also ties with Ansbacher Limited and Cantor Fitzgerald.
According to the latest report, Tether Limited Inc., the leading cryptocurrency exchange that launched the asset-backed stablecoin Tether has moved a major share of its reserves to three financial institutions including Capital Union Bank, Ansbacher Limited, and Cantor Fitzgerald.
Reportedly, the company hasn’t yet revealed any details regarding its ties with the three institutions. The complete data on the distribution of the reserves of Tether or the accounts of the finances is still absurd.
The company’s lawyer told that Tether’s financing details aren’t transparent, stating that it “does not make public its banking relationships”. In addition, the lawyer has also told that the value or the composition of its reserve assets is also not made public.
Notably, as per the internal records, in 2021, Tether transferred almost $37 billion of its reserves to the Capital Union Bank, an offshore, independent private banking institution headquartered in Nassau. The document conveyed that the Bahamian institution held the largest portion of the Tether reserves at that time.
Interestingly, the transfer of the substantial share of the reserves followed the company’s settlement with the New York Attorney General’s office which claimed that Tether misrepresented its finances. However, it is evident that the company has neither admitted nor denied the accusation.
Significantly, the people familiar with the finances of Tether told that the company has ties with another financial platform, Ansbacher Limited, a Bahamian private wealth management institution.
In addition, three anonymous sources familiar with the matter told that the third institution that has connections with the Tether finances is Cantor Fitzgerald, the American-based financial giant, which acts as a custodian of US Treasury Bills.
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