US DoJ Launches Criminal Probe Into Bitfinex, Tether (USDT) After Massive Bitcoin (BTC) Crash

US DoJ Launches Criminal Probe Into Bitfinex, Tether (USDT) After Massive Bitcoin (BTC) Crash

The most recent slip that Bitcoin experienced in its price was so dramatic that it started a wave of accusations in all directions and even a criminal probe by the United States Department of Justice.

Sources within the DoJ are looking into Tether and Bitfinex with the suspicion that the two companies behind these entities have been involved in illegally shifting the price of Bitcoin around, according to a report from Bloomberg.

The fact that both Bitfinex and Tether Ltd. are under the same management puts them in a position of scrutiny by government authorities, especially because the majority of new USDT tokens released into the market go through Bitfinex.

Although Tether CEO JL van der Velde brushes off allegations of collusion, many academics have pointed their fingers firmly at Bitfinex for using Tether to buy Bitcoin at significant moments of weakness.

This isn’t the first time that US authorities have looked into the two companies, as the CFTC sent subpoenas to both of them earlier this year. Right now, sources are saying that bo…

This article appeared first on Cryptovest

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Hayden P.

A blockchain and cryptocurrency enthusiast

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