Bitcoin

Read

The largest stablecoin issuer Tether deposited more than $1 billion with a firm currently at the center of a legal battle in London’s High Court.
<a href="https://crypto.news/tag/tether/" target="_blank" rel="noopener noreferrer nofollow">Tether</a>‘s deposit worth more than $1 billion, which was made with a subsidiary of Britannia Financial Group, appears in a legal battle between Britannia Financial and Arbitral International, a British Virgin Islands-based company, the Financial Times <a href="https://www.ft.com/content/76c7ef0a-8421-4e77-931d-d9d4a1070180" target="_blank" rel="noopener noreferrer nofollow">has learned</a>, citing court filings.
According to the report, Tether opened an account with the subsidiary back in November 2021, when its market capitalization grew by $3 billion just within one week, according to CoinGecko data.
As per the court filing, Britannia failed to pay the full price for a Bahamas-based brokerage it bought from Arbitral in June 2021. An agreement between Britannia and Arbitral included an extra payment based on the amount of revenue-generating assets the business held a year after its sale, including the assets from clients introduced by Arbitral.
You might also like: <a href="https://crypto.news/tether-freezes-225m-usdt-tied-to-doj-trafficking-syndicate-investigation/" rel="noopener noreferrer nofollow"> Tether freezes $225m USDT tied to DoJ trafficking syndicate investigation </a>
Under the agreement, Arbitral argues that Britannia owes it extra money, noting that Tether’s deposit was made following the sale. Britannia Financial denies the allegations, saying that the stablecoin issuer deposited the funds not with the brokerage firm, but with its London-based subsidiary Britannia Global Markets.
According to Britannia, Tether was introduced to the firm by Aldo Mazzella, a “professional introducer” who had a commercial relationship with the stablecoin giant since 2017. Arbitral, in its turn, claims that an executive at the brokerage firm also participated in the introduction. As of press time, Tether made no public statements on the matter.
In late August 2023, Tether <a href="https://crypto.news/tether-partners-with-bahamas-based-britannia-bank/" target="_blank" rel="noopener noreferrer nofollow">tapped</a> Britannia as its dollar transfer provider. While it’s unclear when both entities started collaborating, the Bahamas-based bank became the third entity in the country to work with Tether.
Read more: <a href="https://crypto.news/tether-to-become-a-bitcoin-miner-with-a-500m-investment-in-2024/" rel="noopener noreferrer nofollow"> Tether to become a Bitcoin miner with a $500m investment in 2024 </a>

Tether’s funds worth over $1b reportedly appear at the heart of legal battle

crypto.news

Other articles published on Nov 21, 2023

Wintermute Asia completes first block trade of options via CME Group

Top Cryptocurrencies To Buy In A Rising Market Before It's Too Late

Polygon (MATIC) Faces Potential 16% Drop if This Bearish Chart Pattern Triggers

7 Crypto Market Maker Companies To Watch Out For

Senator Cynthia Lummis criticizes SEC’s crypto enforcement amidst Kraken case

Blockchain Association Backs Tornado Cash Over OFAC Sanctions

Join our free newsletter for daily crypto updates!