Tether says it had ‘limited’ exposure to bank linked to $84M US seizure
US prosecutors alleged that a payments business illegally transferred hundreds of millions of dollars at the direction of EQIBank, where Tether holds some assets.
US prosecutors claim that a payments company illegally transferred hundreds of millions of dollars at the behest of EQIBank, an institution where Tether maintains certain assets. Tether, the stablecoin issuer, disclosed limited exposure due to assets held at EQIBank, which allegedly directed a payments business, Capstone, to allegedly move vast sums of money on its behalf.
When questioned about reports linking Tether and Bitfinex to a Montana-based payments business, Capstone, named in a civil forfeiture complaint filed by the Department of Justice, a spokesperson for Tether stated they had "no knowledge" of any alleged misconduct. Tether confirmed its status as a customer of EQIBank, but the bank's assets represented only 0.034% of the group's total holdings.
US authorities reportedly froze approximately $84 million from Capstone's accounts as part of the complaint, alleging that the business was unlicensed and had made payments to "hundreds of individuals and entities" on behalf of Tether and Bitfinex, according to the Financial Times. As of Friday, the USDT stablecoin held a market capitalization of around $184 billion.
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