Cooperation between Tether Limited and Bagamas-based Deltec Bank is officially confirmed.
"Tether Limited is pleased to confirm that it has established a banking relationship with Deltec Bank & Trust Limited (“Deltec”), a 72-year-old financial institution with headquarters in the Commonwealth of The Bahamas", the company stated in the announcement.
According to the reports, the bank has performed deep study and audit of the issuer of USD-pegged stable coin USDT, including business model and legal compliance, analysis of all business processes as well as checking shareholders, beneficiaries and board of director. Moreover, the bank has reportedly checked whether the company is capable "to maintain the USD-peg at any moment and our treasury management policies,"
The company stated that the complete inspection took several months. After the positive determination, Tether Limited became able to open an account with this bank.
The Deltec Bank is said to perform inspections regularly.
It was also stated that Tether Limited has passed certification with the Financial Crimes Enforcement Network of the US Department of the Treasury. The USDT is fully backed by the greenback. Besides, the company "maintains the highest standards of AML/CFT procedures."
In addition, Deltec Bank in its letter stated that Tether had an account in Deltec with a cash value of $1 831 322 828 as of October 31 2018.