While the crypto industry is certainly exciting to watch in itself, one of the most interesting firms within the industry is undoubtedly Tether. Tether has been involved in a number of scandals and navigations over the years such as the claims of their tokens not being 100 percent backed up with US dollars which were confirmed in an investigation from the New York Attorney General’s office, their collusion with Bitfinex to cover up hundreds of millions of dollars in losses and so on. There are a number of lawsuits that are currently pending against Tether that are sure to keep them in the news for some time to come.
According to recent reports, Tether has received word from prosecutors asking for consolidation and the merging of three of the pending lawsuits into one single suit which Tether has not denied.
While Tether is not denying the merging of the lawsuits, they do continue in their previously stated arguments that the lawsuits are frivolous.
“We did not oppose the plaintiffs’ requests to combine these frivolous claims, originally filed, respectively, in October in New York, in November in Washington and in January in New York,” a statement from Tether says.
Among all the accusations against them also includes the claim that they triggered the 2017 bitcoin bull run through market manipulation tactics which they have again denied. The lawsuit was officially filed on January 16, 2020, with the legal counsel representing the lawsuits asking for a consolidation. According to them, the lawsuits have many similarities in common and this could be a solid basis for consolidation.
Even though there are currently three suits on the ground, a statement from Tether alludes to a possible fourth lawsuit to join in the mix at some point.
“A fourth class action was also filed in New York yesterday, which we expect will be consolidated with the previous three actions,” the statement said, “None of these cases present meritorious claims.”
Tether also claims that the research upon which the accusations are based is flawed and that its application method does not take into account the forces of demand and supply in the crypto market and lacks a fundamental understanding of cryptocurrency both as a concept and as an industry.