{"id":546341,"date":"2023-02-01T14:07:56","date_gmt":"2023-02-01T11:07:56","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/tether-cto-denies-borrowing-from-bankrupt-lender-celsius\/"},"modified":"2023-02-01T14:07:56","modified_gmt":"2023-02-01T11:07:56","slug":"tether-cto-denies-borrowing-from-bankrupt-lender-celsius","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/tether-cto-denies-borrowing-from-bankrupt-lender-celsius\/","title":{"rendered":"# Tether CTO denies borrowing from bankrupt lender Celsius"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_84 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a25db17bb212\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a25db17bb212\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/tether-cto-denies-borrowing-from-bankrupt-lender-celsius\/#%E2%80%9D_Tether_CTO_denies_borrowing_from_bankrupt_lender_Celsius_%E2%80%9C\" >&#8221; Tether CTO denies borrowing from bankrupt lender Celsius &#8220;<\/a><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_Tether_CTO_denies_borrowing_from_bankrupt_lender_Celsius_%E2%80%9C\"><\/span>&#8221; Tether CTO denies borrowing from bankrupt lender Celsius &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<p><img decoding=\"async\" src=\"https:\/\/images.cointelegraph.com\/images\/840_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjMtMDIvMGUzOWQwMmEtY2I4My00NGJlLWFiYWItZDgxMWRjMThjYWEyLmpwZw==.jpg\" \/><\/p>\n<div class=\"post-content\" data-v-5a4050f8>Tether (USDT) \u2014 the world\u2019s largest stablecoin by market capitalization \u2014 has never received any loan from the bankrupt cryptocurrency lender Celsius, according to the chief <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/technology\/\" data-internallinksmanager029f6b8e52c=\"4\" title=\"Technology\" target=\"_blank\" rel=\"noopener\">technology<\/a> officer.<\/p>\n<p>Paolo Ardoino, CTO at Tether and Bitfinex crypto exchange, took to <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">Twitter<\/a> on Jan. 31 to <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/paoloardoino\/status\/1620445807949529088?s=20&amp;t=_KZ-kqQvv_nxbvtSBo3bbg\">announce<\/a> that Tether has \u201cnever borrowed from Celsius.\u201d<\/p>\n<p>The tweet came in response to the Celsius bankruptcy examiner report, which allegedly mistakenly implied that Tether was among Celsius\u2019 borrowers alongside firms like Three Arrows Capital, which <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.wsj.com\/articles\/celsius-owes-users-more-than-4-7-billion-11657841826?mod=djemalertNEWS\">borrowed<\/a> $75 million from the firm.<\/p>\n<p>Released on Jan. 31, the examiner report <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/cases.stretto.com\/public\/x191\/11749\/PLEADINGS\/1174901312380000000039.pdf\">mentioned<\/a> that \u201cCelsius\u2019s loans to Tether were twice its credit limit\u201d on page 183.<\/p>\n<p>The report notes that \u201cTether\u2019s exposure eventually grew to over $2 billion,\u201d which became an issue in late September 2021 as it was described to the risk committee as presenting an \u201cexistential risk\u201d to Celsius.<\/p>\n<p>Denying any exposure to troubled Celsius, Ardoino suggested that examiner Shoba Pillay mixed up prepositions in the examiner report, actually meaning \u201cCelsius loans from Tether\u201d instead of \u201cCelsius loans to Tether.\u201d<\/p>\n<p>\u201cEither is a typo or a mis-characterization,\u201d Tether CTO wrote in a Twitter thread started by Financial Times reporter Kadhim Shubber.<\/p>\n<p>Shubber also <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/kadhim\/status\/1620376333842022402?s=20&amp;t=_KZ-kqQvv_nxbvtSBo3bbg\">mentioned<\/a> that the examiner report is associated with some level of miscomprehension, stating:<\/p>\n<p>\u201cThe examiner&#8217;s report above describes Celsius having &#8216;loans&#8217; to Tether, but I think the exposure comes from Celsius having posted collateral in excess of the amounts it borrowed from Tether.\u201d<\/p>\n<p>As previously reported, Celsius allegedly borrowed $1 billion from Tether with Bitcoin (BTC) in 2021, with founder Alex Mashinsky stating that Celsius was paying an interest rate between 5% and 6%. In June 2022, Tether said it <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/tether.to\/en\/tether-discloses-celsius-loan-liquidation-process\/\">liquidated<\/a> the $900 loan, which came about a month after Celsius halted withdrawals.<\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>Celsius publishes list of users eligible to withdraw majority of assets<\/em><\/strong><\/p>\n<p>The amount of the loan was much bigger than $1 billion, though, according to the latest examiner report. \u201cCelsius had borrowed $1.823 billion of the stablecoin USDT from Tether, posting as collateral $2.612 billion of its assets under management,\u201d examiner Shubber wrote, adding that the collateral amounted to 17% of all Celsius\u2019 assets.<\/p>\n<p>Apart from providing massive loans to Celsius, Tether is known as an early investor in the bankrupt firm. In 2020, Celsius secured a $10 million equity raise from Tether, with CEO Mashinsky highlighting an important endorsement by the firm.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"crypto_biz\"><\/template><\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/tether-cto-denies-borrowing-from-bankrupt-lender-celsius\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; Tether CTO denies borrowing from bankrupt lender Celsius &#8220; Tether (USDT) \u2014 the world\u2019s largest stablecoin by market capitalization \u2014 has never received any loan from the bankrupt cryptocurrency lender Celsius, according to the chief technology officer. Paolo Ardoino, CTO at Tether and Bitfinex crypto exchange, took to Twitter on Jan. 31 to announce&#8230;<\/p>\n","protected":false},"author":1,"featured_media":546342,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/s3.cointelegraph.com\/uploads\/2023-02\/0e39d02a-cb83-44be-abab-d811dc18caa2.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[136596,74863,75493,117,70934,36041],"class_list":["post-546341","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-celsius","tag-cryptocurrencies","tag-stablecoin","tag-business","tag-regulation","tag-tether"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/546341","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=546341"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/546341\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/546342"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=546341"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=546341"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=546341"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}