Bitfinex is being sued, along with Tether, by the AG over questionable operations and has already had to deal with several setbacks.
Tether, which is owned by parent company iFinex, will reportedly issue the Chinese yuan-pegged stablecoin, known as CNHT, in the coming weeks.
Tether issued a statement in response to Monday’s New York State Supreme Court ruling, saying that they are “disappointed” but will file an appeal.
Bitfinex’s attempt to assert that New York has no jurisdiction over its operations, since it allegedly doesn’t operate in the U.S., has been rebuked.
More of the SegWitCoin (BTC) stolen from crypto exchange Bitfinex was moved to a new address, sparking fresh speculation over the identity of the hackers behind the theft.
Cryptocurrency exchange Bitfinex and stablecoin issuer Tether thought they could convince a judge in New York that the state had no jurisdiction over the entities.
Tether and Bitfinex have argued that the customers indicated by the NYAG were foreign eligible contract participants (ECP) that are allowed to be serviced by the exchange.
Tether admitted to accidentally creating billions in USDT, but the question is if its always an accident.
Metropolitan Commercial Bank based in New York has contacted Tether and requested that it close its accounts.
Tether and Bitfinex have tried to argue for the dismissal of the case because they don’t have anything to do with New York.