Whale Alert reported that 30 million USDT were transferred from Tether Treasury to Bitcoin earlier today. The transfer happened soon after the price of the leading cryptocurrency crashed below $7,500. At the time of writing, BTC is changing hands at $7,400. However, CTO of Bitfinex and Tether Paolo Ardonio clarified that it was a chain swap from ERC-20 to Tron.
— Whale Alert (@whale_alert) October 23, 2019
Last month Tether acted in a similar manner as it transferred around 15 million USDT to the Huobi exchange after the price of bitcoin crashed to $8,000. Many experts and analysts have found that Tether has a predominant effect on the price of bitcoin. This transfer could be seen as a move to pump the price of bitcoin.
— Paolo Ardoino (@paoloardoino) October 23, 2019
The stablecoin company in the past has come under heavy scrutiny from the crypto community for minting huge amounts USDT to potentially manipulate the market. Both Tether and Bitfinex are also fighting a lawsuit filed by New York Attorney General for covering up $900 million lose using USDT reserve.