Crypto markets picked up pace earlier this week, but it’s a USDT transaction that has caught the eye of eagle-eyed crypto transaction watchers. Whale Alert – a service that tracks large movements of cryptocurrencies – has flagged a huge 5 million USDT transfer from an unknown wallet to Bitfinex. However, it looks like the transaction might not be as innocent as people believe it to be…
Possible Manipulation on the Cards… Again
The last thing Bitfinex and Tether need at the moment is another scandal, but it looks like we have one on our hands. On May 25th, Bitfinex sent 10 million USDT to the USDT Treasury. Then, on May 27th, the USDT treasury sent 9,990,000 USDT to this mystery wallet. Suddenly, a large portion of the funds has come full circle and is back in the hands of Bitfinex. The pair have already been asked to cut ties amid allegations that Bitfinex is using USDT to manipulate the price of Bitcoin, and on the day this move takes place we see Bitcoin skyrocketing is no longer a simple coincidence.
Tether Causing Trouble Once More
In this day and age, it’s a shame that one bad actor decides to manipulate the price of the crypto world for their own gain – running the party for everyone else. This isn’t Tether’s first rodeo, and it’s likely that Tether and Bitfinex have been manipulating the crypto markets since the duo were launched. Every time fresh Tether is issued and sent to Bitfinex, the price of Bitcoin takes a massive turn upwards, and a pattern is beginning to emerge.
The Tether Scam
Tether has suffered so many fatal blows, yet remains the most popular “stablecoin” on the market – how is that even possible? Well, the answer is quite simple – money. It stands to reason that a lot of people gain from having Tether around, so no matter how many deathblows it suffers, it will continue to pick itself up and carry on. Back in March, Tether admitted that it’s not 100% backed by fiat – despite years of claims saying that it is – meaning it shouldn’t be considered a stablecoin, but a scam instead. Now, Tether and Bitfinex have resorted to shady dealings and mystery wallets to hide their scandalous transactions, but the crypto world is remaining wise and on top of the situation.
It’s still unclear as to why the USDT is going around and around in circles, but no doubt it’s a new method Bitfinex and Tether are using to try and make volume look legitimate while pumping up the crypto markets. This could be the final blow to the pair, and if it is then the crypto world could have one less scammer in it.