A few days after reaching a long-standing dispute with the New York Attorney General’s Office, Tether said it has now become a victim of a blackmail attempt. According to the stablecoin issuer, the blackmailers threatened that if they fail to meet the requirement to pay 500 bitcoins, they will publish documents that they claim “will damage the Bitcoin ecosystem.”

Tether does not pay ransom

However, Tether said in its threat-eliminating statement that the blackmailers are trying to use “forged documents” to blackmail money. According to Tether, these documents are intended to show the interaction between Tether personnel and Deltec Bank representatives.However, in Twitter line, Tether stated that it will not send the 500 BTC that the blackmailer hopes to get before March 1.

Stablecoin issuer Tether said it was a victim of Infoleak threat of 500 BTC ransom demand

The stablecoin issuer also stated that it has submitted a formal report on the demand for ransom to law enforcement agencies. Tether tweet

We have reported forged communications and related ransom demands to law enforcement agencies. As always, we will fully support law enforcement agencies in investigating such extortion programs.

At the same time, Bitfinex and Tether CTO Paolo Ardiono also denied the ransom demand in his tweets. He again claimed that the attack appeared to be aimed at Tether, but the attacker’s “main goal was to discredit Bitcoin and all cryptocurrencies.”

Email leaks

The CTO also continued to share screenshots of the tweets sent by user Trolly McTrollface on February 27. According to the screenshot, McTrollface claimed to have a leaked email from Tether to Deltec, which users described as “a key part of the puzzle.”

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Stablecoin issuer Tether said it was a victim of Infoleak threat of 500 BTC ransom demand

After the long-term investigation, the Office of the Attorney General (OAG) determined that both Tether and Bitfinex “really and illegally covered up huge financial losses in order to keep their plans going and protect their bottom line.”

However, OAG only recognized the Bahamas-based Deltec Bank as Tether’s banker in its statement. OAG did not say anything to the alleged email on May 3, 2020, in which Tether personnel are seeking help from Deltec representatives, “introducing their reserves in the best possible way.”

Therefore, Tether labeled the latest rumors and tweets, “This is a frustrating failed attempt.”

What is your opinion on Tether’s latest dilemma? You can share your views in the comments section below.

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