Back in 2018, the Bitfinex cryptocurrency exchange took a loan from Tether in the amount of $ 900 million. Now the site has reported on the full repayment of the debt.
According to the exchange, out of $ 900 million, Bitfinex used only $ 750 million.At the same time, $ 100 million was paid in 2019 and 2020, and the remaining $ 550 million was transferred to Tether accounts in January this year, and the payment was made before the scheduled date of November 5, 2021 of the year. This was facilitated by the good financial performance of the exchange.
According to Stuart Hoegner, head of the legal department at Bitfinex, the money was borrowed from Tether in connection with a “short-term shortage of cash.” Apparently, this shortage of cash was associated with the freezing of $ 880 million of the Bitfinex exchange in the accounts of Crypto Capital. Now there is a legal battle on the return of funds.
“Bitfinex is seeing significant progress in recovering funds from Crypto Capital Group accounts around the world. Crypto Capital made Bitfinex a victim. We reserve the right to use all available remedies against them and look forward to continuing our cooperation with the New York Attorney General’s Office, ”Hogner said.
He also said that the payment was made in US dollars, and not in USDT stablecoins, since it was in this currency that the loan was received. The funds were transferred to Tether accounts at the Deltec Bank in Bahamian. At the end of January, representatives of Deltec Bank confirmed that all USDT issued to the market are fully backed by Tether funds held in the bank’s accounts.