- Tether and Bitfinex withdraw opposition to a FOIL request on a legal settlement with the NY Attorney General.
- Emphasis on transparency without compromising responsible handling of business information.
- Commitment to a higher moral standard, open to constructive engagement with ethical reporters and regulators.
In a significant move towards transparency, Tether (USDT) and Bitfinex have decided to abandon their resistance to a New York Freedom of Information Law (FOIL) request initiated by a group of journalists, including Zeke Faux of Bloomberg Businessweek.
The FOIL request in question pertains to Tether and Bitfinex’s agreement with the New York Attorney General (NYAG), concluding a two-year legal battle over the alleged commingling of $850 million of customer and company funds, resulting in an $18.5 million fine.
Highlighting their commitment to openness, Tether cited previous instances, such as dropping opposition to a FOIL request from Coindesk earlier this year, to showcase their dedication to transparency. However, they clarified that transparency should not be misconstrued as an indiscriminate release of all documents, emphasizing the need for responsible business practices.
Opting for Transparency Amid Controversy
Despite facing skepticism about the recent FOIL request, particularly in light of the journalists involved, Tether and Bitfinex remain steadfast in their decision to prioritize transparency over further opposition. Notably, concerns arose regarding the conduct of journalists like Zeke Faux, Shane Shifflett, and Ada Hui, who have been associated with media outlets like the Wall Street Journal and Bloomberg, both participants in the FOIL request.
The companies addressed what they deemed as “one-sided and inaccurate” reporting from various media outlets, expressing their commitment to setting a moral standard and leading by example. Tether and Bitfinex asserted that their dedication to transparency does not compromise their responsible handling of business information.
Responsible Engagement and Selective Document Disclosure
Tether and Bitfinex extended an olive branch to journalists and regulatory authorities, welcoming constructive engagement while underscoring the importance of ethical reporting standards and respect for data privacy. They emphasized the need for selective document disclosure, asserting that transparency should be coupled with responsible document review and handling, ensuring that it does not lead to the unrestricted release of all documents.
Maintaining Transparency Leadership
Closing their announcement, Tether reiterated their position as the most transparent companies in their respective industries. The decision not to appeal the FOIL request is presented as a reaffirmation of their commitment to responsible business practices and transparency. Both Bitfinex and Tether aim to set a higher moral standard within the industry, solidifying their reputation while advocating for ethical reporting and safeguarding data privacy boundaries.
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