The objective is to grant greater legitimacy to the operations conducted with this cryptocurrency. It will apply only to people who make exchange orders for a minimum of USD $ 100,000
Operators of the controversial stablecoin Tether announced the launch of a new platform in which verified customers can exchange their USDT balances for legal tender money in two options: US dollars or euros.
The company announced the direct exchange of Tether to fiat currencies together with an important redesign of its platform for new client’s verification. The update allows users to exchange their tokens on the Tether.to platform with a ratio of USDT to fiat of 1:1 (one for one).
All Tether deposits and withdrawals have a zero cost, while fiat transfers are subject to commissions. Tether customers will be limited to an exchange of US dollars per week. The minimum Tether issuance and exchange requirements are $ 100,000 and USD $ 100,000, respectively.
The Bitfinex team made the announcement through a message on its Twitter account, which says: “From today onwards, Bitfinex customers will be able to trade Tether-fiat directly on our platform through the addition of USDT / USD and EURT / EUR Tether trading pairs”.
The operating company reported that in principle it was decided to modify the model originally proposed for the operation of the digital currency, due to the popularity and volume of operations registered for the stablecoin.
In the beginning, Bitfinex support was requested so that users could exchange their USDT balances for US dollars. This generated a wave of complaints from people who claimed that the digital currency was used to “manipulate” the prices of different cryptocurrencies such as Bitcoin.
A possibility of using wallets
From now on, the users’ purses will be compatible with USDT and EURT, in addition to the euro and the US dollar fiduciary balances, thanks to an alliance with Deltec Bank, a banking entity based in the Bahamas.
The operating company ensures that it will be possible to resume the idea of managing a wallet in which people can store USDT and exchange them directly for legal tender without relying on a third party. This means that, from the date, it will be possible to exchange Tether for USD, incorporating the possibility of acquiring USDT balances for other digital currencies.
About the new measure on which users interested in exchanging their Tether for dollars must have at least 100,000 USDT. Digital currency operators assured that these actions are specially designed “for a sector of professional investors that make use of the digital currency”.
Although Tether’s reputation has been strongly affected by the lack of certified accounting reports and the difficulties that Bitfinex has faced in liquidating its clients, the digital currency still holds its position among the most used in the market.
Another factor was the fall in the prices of the stablecoin, which even registered prices below USD $ 0.90. Despite these facts, last June Stuart Hoegner, an international cryptocurrency and gaming lawyer, affirmed Tether had “enough US dollars” to support each token.
By María Victoria Rodríguez