Tether bitcoin manipolation

Bitfinex has the same management team as Tether Ltd. Some traders — as well as academics — have alleged that these Tethers are used to buy Bitcoin at crucial moments when the value of the more ubiquitous digital token dips.

JL van der Velde, the chief executive officer of Tether Ltd. Both Tether Ltd. Neither the Justice Department nor the CFTC has accused tether bitcoin manipolation of wrongdoing, and authorities may ultimately conclude that nothing illicit occurred.

Along with the CFTC, prosecutors have been looking into a number of trading strategies, including spoofing — the illegal practice of flooding the market with fake orders to trick other traders into buying or selling, Bloomberg reported in May. While not as well known as Bitcoin, Tether is widely used by traders to bet on price moves for other cryptocurrencies.

Tether Ltd. Some investors have questioned that claim. One reason the CFTC subpoenaed the company was to seek proof that tokens are backed by a reserve of U. Among the issues the Justice Department is examining is how Tether Ltd. Griffin and Shams wrote that trading in Tether shows a pattern of underpinning, and manipulating, Bitcoin. Griffin briefed the CFTC on his findings earlier this year, according to two people with direct knowledge of the matter.