Ethereum

Prosper

Equity

Valor

<ul class="wp-block-list">
  
 <li>Cumberland and Alameda Research control over $60 billion in Tether (USDT), raising concerns about market stability and transparency.</li>   
 <li>Ryan Salame, former FTX executive, faces 7.5 years in prison for fraud amid ongoing investigations into Cumberland's practices.</li>   
 <li>Cumberland's ties to Ripple and various crypto players highlight a complex web of influence in the cryptocurrency landscape.</li> 
</ul>   
<p>DRW subsidiary Cumberland is closely connected to the Bitcoin scene. The shocking majority of Tether (USDT) was issued by Cumberland and <a href="https://cryptonewsland.com/ftxs-sam-bankman-fried-seeks-new-trial-accuses-judge-kaplan-of-prejudicing-case/" target="_blank" rel="noreferrer noopener">Sam Bankman-Fried's Alameda Research</a>, it was recently revealed.&nbsp;</p>   
<p>Together, they are responsible for over $60 billion in USDT. Alameda reportedly managed at least $36.7 billion, while Cumberland had around $23.7 billion. This revelation raises questions about the potential impact on the market.</p>   
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<h2 class="wp-block-heading" id="h-tether-s-troubling-origins">Tether's Troubling Origins</h2>   
<p>Cumberland's role in the crypto extends beyond USDT. It purchased 27,000 BTC from the US Marshals sale of Mt. Gox Bitcoin. This <a href="https://www.usmarshals.gov/what-we-do/asset-forfeiture/sale-approximately-404158424932-bitcoin" target="_blank" rel="noreferrer noopener">purchase</a> notably funded Grayscale's Ethereum wallets. Furthermore, Cumberland is linked to various organizations, including the Ethereum Foundation, Wanxiang, Shapeshift, and Bitfinex.&nbsp;</p>   
<p>Reports indicate that fraud and money laundering in crypto may stem from Cumberland's activities. This makes it one of the biggest players funneling USDT and other cryptocurrencies through various wallets connected to China.</p>   
<p>7.5 years is the prison sentence handed down to Ryan Salame, the former CEO of FTX and Alameda, for his involvement in fraud. He is serving his time in FCI Cumberland prison. Salame's sentencing follows the <a href="https://cryptonewsland.com/sec-files-lawsuit-against-cumberland-drw-for-unregistered-securities-dealing/" target="_blank" rel="noreferrer noopener">SEC's charges against Cumberland</a> for selling unregistered securities.</p>   
<h2 class="wp-block-heading" id="h-ripple-s-ripple-effects">Ripple's Ripple Effects</h2>   
<p>Cumberland's connections do not stop there. Donald R. Wilson, the founder and CEO of DRW, co-founded the Eris Exchange. This exchange has received backing from Eight Roads Ventures, which previously funded Chris Larsen's Prosper Marketplace. Larsen is notably the co-founder of Ripple, which has established a network of relationships between these entities.</p>   
<p>Moreover, DRW has investments in BitGo, a company with <a href="https://cryptonewsland.com/the-hidden-connection-between-xrp-global-markets-and-financial-power/" target="_blank" rel="noreferrer noopener">extensive connections to Ripple</a> and the so-called "PayPal Mafia." BitGo's funding sources include names like Valor Equity Partners, Goldman Sachs, and Founders Fund. This intertwining of investments creates a web of influence that further complicates the crypto landscape.</p>   
<h2 class="wp-block-heading" id="h-the-web-of-influence">The Web of Influence</h2>   
<p>As the connections between Cumberland, Alameda, and various crypto players become clearer, the need for scrutiny intensifies. These connected relationships may pose risks to the cryptocurrency ecosystem. The revelations about Tether, fraud cases, and the involvement of significant players call for careful consideration.</p> 
<p>The post <a href="https://cryptonewsland.com/inside-the-crypto-web-cumberlands-controversial-role/">Inside the Crypto Web: Cumberland’s Controversial Role and Tether’s Troubling Ties</a> appeared first on <a href="https://cryptonewsland.com">Crypto News Land</a>.</p>

Inside the Crypto Web: Cumberland’s Controversial Role and Tether’s Troubling Ties

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