Tether includes Bahamas-based personal bank Britannia as partner: Report

Tether, the stablecoin provider behind USDT, has actually apparently included Britannia Bank & & Trust, a personal bank based in The Bahamas to process dollar transfers on its platform.

It is comprehended Tether has actually advised customers to send out cash to Britannia’s savings account over the last couple of months, according to an Aug. 29 report by Bloomberg, mentioning individuals knowledgeable about the matter.

Nevertheless, it isn’t clear when Tether’s banking relationship with Britannia Bank began, however its other documented banking partners consist of Deltec Bank and Capital Union Bank.

In current months, United States-based cryptocurrency companies have actually needed to progressively look offshore for banking partners amidst increased analysis by U.S. regulators following the shock collapse of FTX in November.

Tether’s objection to openly divulge the complete level of its balance sheet and banking relationships has actually likewise sustained market FUD (an acronym for worry, unpredictability and doubt) in the past over how the stablecoin provider shops its $86 billion in possessions.

Related: United States Fed steps up oversight of banks’ participation with crypto companies

Tether’s USDT presently controls the stablecoin market, with its $82.9 billion market cap representing 66.5% of the overall market, according to CoinGecko.

USDT’s market cap rallied over 20% to $80 billion over the very first 4 months of 2023– amidst the banking crisis including Silvergate Bank, Signature Bank and Silicon Valley Bank– however has actually because steadied out around the $80-82 billion ever since.

Publication: Unstablecoins: Depegging, bank runs and other threats loom