Bitfinex and Tether CTO Faces Deposition in Market Manipulation Case – Here’s the Latest

The CTO of both cryptocurrencies exchange Bitfinex and Tether, Paolo Ardoino, is set to be deposed in a lawsuit against Bitfinex for allegedly manipulative practices on their platform. The deposition was scheduled to take place on 15 March 2021.

The lawsuit, which was filed late last year by the New York Attorney General’s Office, seeks to uncover potentially illegal activity relating to the operations of Bitfinex and Tether and its relationship. The AG is also looking into whether both companies fraudulently covered up $850 million of lost customer and corporate funds.

The deposition may uncover potential wrongdoing by both companies, and will put Ardoino in the spotlight. Ardoino is the first named executive of either company to face a deposition in the case.

The outcome of the deposition could have significant implications for both companies and the wider cryptocurrency markets. If the AG finds evidence of fraud or illegal practices, it could lead to fines or even criminal charges. This could result in further regulatory action taken against both Bitfinex and Tether, and potentially other cryptocurrency exchanges.

It could also lead to a further bear market in the crypto-asset space, as investors have become more wary of legal issues surrounding major exchanges.