In efforts to give a subjective report on the reliability of Bitfinex and Tether’ financial reserves, a post was made in Weibo by well known Chinese pioneer bitcoin adopter and investor in Bitfinex, Zhao Dong.
As mentioned in the post, the chief executive of Big.one, Lao Mao, and Zhao Dong, have personally seen the bank balances of both Bitfinex and Tether respectively while on a meeting with Bitfinex’s chief financial officer, Giancarlo Devasi. Moreover, the post claims that the total of both bank balances of Tether and Birfinex account for up to USD$3 billion.
Zhao Dong defends Bifinex and Tethers against claims of Cloudy Banking practice
In a recent post on Weibo by a major Chinese pioneer of bitcoin, Zhao Dong, he indicated that he has seen first-hand the total amount of bank balances held by Tether and Bitfinex as a result of a recent meeting with Giancarla Devasini. Zha Dong is notably recognized as one of the major over-the-counter (OTC) trader in China as well as an investor in Britfinex.
The Weibo post of Zhao Dong also made mention of Tethers bank balance amounting to USD$1.8 billion, on the other, the post also indicated that Bitfinex total balance account for USD$1.1 billion. Zhao Dong further argued that the combined balances of both banks are USD$3 billion, as a result, it is greater than the present distributed supply of USDT, which discredit critics about USDT.
After CEO’s meeting with Giancarlo, Big.One launches USDT
After the meeting CEO of Big.one posted a blog whereby the interview between Mr. Devasini and an associate of Lao Mao’s was open to public view. Bitfiex CFO argued that Bitfinex consist of about 50 employees whiles the Tether staff have no financial drive. Moreover, the claim that being a pioneer bitcoin adopter, the employee pride themselves on being responsible and having a sense of direction. He also claims that US banking industry is hindering Tether in different ways and suggests that Big.one will engage in USDT in the fastest possible time.
Virtual Currency Players still Skeptical
Despite claims made by Lao Mao and Zhao Dong, the virtual currency players still seem hesitant to accept the honesty of Bitfinex and Tethers bank balances, with one of the major upvoted comments on Zhao Dong post on Weibo, indicating that a third party accounting firm should submit a report, strengthen its legitimacy rather than just words said by Zhao Dong.
In relationship to the cloudy banking practice of Bitfinex and Tether, both companies have been reported to stop banking operation with Wells Fargo as of March 23rd, in which both firms have not regained contact with Well Fargo in terms of the banking business. Ever since Tether has continued to produce new USDT. Moreover, last week within four days, 400 million new USDT were made.