Tether is not there and replies to the Fianancial Times, calling it "tabloid journalism"

A Financial Times (FT) article about Tether CEO Jean-Louis (JL) van der Velde has become the center of the controversy. Tether, the largest stablecoin broadcaster is no stranger to the media spotlight due to its clashes with the law and continued speculation about its reserve. The stablecoin broadcaster took a strong objection to the FT article on Velde titled "Tether CEO: From IT Sales to Calling the Shots in the Land of Cryptocurrencies."

Tabloid journalism

Tether took a dig at the FT article for showing the CEO in a bad light and called him a "tabloid piece" rather than true journalism. The controversial article begins with JL's early life in China, where his company faced several lawsuits and tax fines. The article reads:

"Tether's chief executive managed a company that faced a series of lawsuits in China over unpaid invoices and late tax fines before helping launch the controversial stablecoin now at the heart of the cryptocurrency industry." .

The article then goes on to talk about his early life as an e-seller to his problems with creditors and the law. Tether made a special exception to FT's excavation of the past, highlighting early failures. In an official press release, the company said:

The recent Financial Times story highlights the challenges of doing business in China, and despite this, JL has been able to build positive relationships with his business constituents. This further demonstrates the character and dedication of our company's executives to problem solving and their ability to navigate through complex situations and environments ”.

Tether went on to accuse the article's author of following "tabloid journalism" and said:

“It saddens them to see this kind of journalism taking over the Financial Times. Instead of making the effort to learn and truly understand the significance of blockchain technology and the Web3 revolution, reporters like the ones who wrote this article for the Financial Times have chosen to take the path of tabloid journalism to support readers of the house. once highly respected publisher ".

Controversies over Tether continue to escalate

The FT article also talked about Tether's controversial stablecoin handling and the reserve dispute. The major stablecoin issuer has argued that its USDT reserves are fully supported, however instead of all reserves are backed by cash or cash equivalents, some of them are backed by commercial cards and some other securities which are not considered stable .

Tether along with Bitfinex crypto exchange was fined by the CFTC in October for misleading financial information about its reserves. The stablecoin broadcaster came out with a statement in the wake of the $ 43 million fine, claiming to have solved the problem.