5.3 C
Manchester
December 5, 2022
Image default
Altcoin

Tether may be under investigation by the SEC

Tether could be under investigation by the SEC. This was revealed by The New Republic journalist Jacob Silverman.

Jacob Silverman has filed a FOIA request with the SEC, which stands for Freedom of Information Act. This is a request where a citizen can request information about a particular company. But the response he received from the SEC was surprising:

“We are retaining records that can meet your request under 5USC 552(b)(7)(A). This exemption protects against disclosure records compiled for law enforcement purposes, the disclosure of which could interfere with law enforcement activities. Because Exemption 7A protects records from disclosure, we have not determined whether other exemptions apply. Therefore, we reserve the right to claim other exemptions when Exemption 7A no longer applies”.

O article cited to justify the non-disclosure of the requested information about Tether Operations Limited is the following:

“This section does not apply to matters that are records or information compiled for law enforcement purposes, but only to the extent that the production of such records or law enforcement information (A) may interfere with law enforcement procedures” .

This denial, along with the reasoning cited above, suggests that the SEC is somehow investigating Tether.

Tether: “We constantly work with regulators”

This is just a hypothesis, but there is no certainty that the SEC has actually opened an investigation into Tether.

Tether did not confirm any SEC investigation, but explained that he is constantly working with authorities:

“We work constantly with regulators and law enforcement agencies around the world and collaborate on many aspects of the broader digital asset industry.”

Tether under observation

Jacob Silverman was conducting an investigation into Tether to clarify certain aspects of the higher stablecoin by capitalization. It is precisely the explosive growth of the USDT’s market capitalization that has attracted much attention to it.

Surprisingly, in another FOIA application dated February, the SEC responded that it had no material to share. Just over six months later, the SEC admits it has materials on Tether but cannot release them. This shows that the authority is collecting information, a sign that it has been monitoring Tether for a few months.

This was despite Tether having made its reservations public in recent months, thus providing the necessary transparency.

It remains to be seen whether or not there is an ongoing investigation.

Source: cryptonomist

Related posts

Chia: after discussions between investors debuts on Exhange

Anupreet Kaur

XRP scales above critical level as Ripple faces legal dispute

Anupreet Kaur

Elon Musk: It is “important to support” Dogecoin’s new proposal

Anupreet Kaur

Leave a Comment