The company Tether Limited made public their agreement with the bank of the Bahamas, Deltec Bank, for the management of the funds that support their cryptoactive, anchored to the dollar. The firm indicated that the alliance was achieved after a long period of reviews and evaluation of the company.
In the statement, Tether Limited reported that among the analyses performed, a verification process was included to determine if the company was able to maintain this parity (Tether-Dollar). The startup assured that it has the necessary funds to support its cryptoactive.
“The acceptance of Tether Limited as a client of Deltec came after the due diligence review of our company (…). The USDT in the market is fully backed by US dollars that are deposited securely in our bank accounts.”
At the same time, Deltec Bank ruled in the same way. The financial institution released details in order to send positive signals to the crypto-market, and minimize the doubts of the investors. Through a letter, written on November 1, the bank said:
“Through this document, the closing of operations is made on October 31st, 2018. The cash value of your account with our bank was a total of $1,831,322,828″
The message of Deltec Bank can be taken as a strategy for investors to return to the investment of this cryptoactive and thus being able to stabilize it with respect to its parity (1 Tether = 1 Dollar).
The relationships between the cryptoactive and other banks have also included, with the passage of time, other financial companies, such as the Noble Bank of Puerto Rico. A study conducted by Bitmex indicated that this bank was the old safeguard of the funds that support their cryptoactive anchor to the dollar.
Through the Exchange Bitfinex, Tether’s main engine, the funds were taken from the Caribbean bank to be taken unofficially to the HSBC in London. This uncertainty had its influence on the market, which caused, in part, the disparity of the Tether with the US dollar. While this was taking place, StartUp used private accounts to mobilize funds.
Now, Tether, confirms that, officially, their funds are back in the Caribbean with the partnership with Deltec Bank.
On October 15th, the Tether’s price stood at 0.95 $ per unit; its lowest point in 18 months. One of the causes of this event is related to the events involving the exchange house Bitfinex, one of its promoters, who a week ago, had suspended deposits in dollars and other official currencies.
The bad weather for this crypto-active continued a week later, after a report was released, which shows a reduction in tether exchange volumes at the cryptocurrency exchange. This report gathered information about investors’ concerns regarding the Tether bank reserves.
In recent days, the Tether quote was at 0.99 $ per unit, with positive valuation, for the last 24 hours, of 0.82%.
By Samuel Paz