Research firm Hindenburg Research, famous for its shorts, is offering a reward of up to $1 million for previously undisclosed details about the reserves backing Tether and its stablecoin USDT.
Hindenburg launches rewards program for Tether
The firm said it “doubtful” that Tether is behind the USDTs in the market and has launched the Hindenburg Tether Rewards Program to encourage the search for new information on the subject. In an announcement Wednesday, Hindenburg specifically emphasized that Tether claims that a significant portion of its reserves are held in commercial papers without disclosing anything about counterparties.
This rewards program from Hindenburg will allow users to submit information about Tether’s support and win “up to $1 million” in rewards. Cryptocoin. com
As we reported , the regulatory review around the reserves behind Tether’s USDT and other similar instruments has been carried out. As a result of these investigations, it was stated that Tether did indeed have a dollar reserve.
Hindenburg got a reply from Tether
Tether considered this bounty program a “pathetic” proposition. “This is not the first time that Hindenburg Research has had a clear plan in pursuit of profits,” the company said. Nor will it be the last. Tether condemns their actions and their explicit motives,” he said. In recent years, Hindenburg Research has gained notoriety for uncovering information about publicly traded companies that lower their share prices and invite scrutiny from regulators. For example, a report in June suggesting that sports betting company DraftKings had potentially enabled black market betting led to a subpoena from the SEC.