Bitfinex announces Tether loan repaid! Bitfinex announces Tether loan of $550 million has been repaid.
The action fully closes out a larger $750 million dollar loan from a $900 million credit line first issued in 2018. The credit line has been a central figure in a market manipulation lawsuit in New York and a broader lawsuit from the New York Attorney General.
“Bitfinex is happy to announce that in January it repaid the remaining balance of $550,000,000 of the outstanding revolving loan facility to Tether,” wrote Stuart Hoegner, general counsel at Bitfinex. “Bitfinex made this payment in fiat currency wired to Tether’s bank account. All interest due on the loan has been paid. The loan has now been repaid early and in full and the line of credit has been cancelled.”
iFinex, the parent company of both Tether and Bitfinex, continues to face multiple class-action lawsuits as a result of the loan. Legal action surrounding the loan continues to harangue the companies. The suits allege that the company issued unbacked USDT that was then used to manipulate the market.
The company is also facing intense scrutiny from the New York Attorney General. Last month, a request for a trial date to be pushed back was originated by the company – an attempt to garner more time to produce documents requested by the Office of the Attorney General. This was the second delay requested by iFinex.
Despite the immense and seemingly insurmountable legal troubles facing iFinex, Paolo Ardoino, the CTO of Bitfinex and Tether, took to Twitter to poke fun of the cryptocurrency community who belong to “tether truthers” who believe the stablecoin poses a systemic risk to the ecosystem.
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