CoinFlip Postpones Tether Purchase Until Smoke Clears

| Publish date: 05/02/2019
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It appears that the crypto space is witnessing a collapse of the promotion of the new, Tron-powered version of USDT. This took place following allegations from the New York Attorney General aimed at companies behind the stablecoin.

‘Until the Smoke Clears’

A crypto ATM startup called CoinFlip wanted to include the said Tron version to over 180 of its very own machines. By doing so, it would give people the ability to purchase the token for cash at different venues across the country. This includes, but not limited to, gas stations, convenience stores, tobacco shops.

However, according to the CEO and co-founder of the company named Daniel Polotsky the above-mentioned plan will have to be put on hold. This is simply due to the existence of allegations coming from NYAG’s court case, which reportedly involves the issuer of the token, Tether. It is also worth noting that the case includes the crypto exchange Bitfinex, which saw an overlap of owners and management.

In an interview, Polotsky said that the recent events forced them to postpone their launch. However, they will only do so “until the smoke clears,” although many are having second thoughts about this possibility.

According to the executive, the company just wants to ensure that both Bitfinex and Tether are operating 100 percent lawfully. Otherwise, they will not move towards the possibility of offering their products to the firm’s customers.

Another Postponed Program

Tron, on the other hand, also decided to postpone its $20 million rewards program. The latter, in particular, was supposed to be about embracing the idea of adopting its own version of USDT.

The blockchain project had been successful in working alongside OKEx and Houbi, among other exchanges in an attempt to airdrop Tron-based USDT. Even more so, the partnership had helped encourage users when it comes to transferring their tokens to Tron from the Omni protocol.

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The said protocol, by essence, is where the USDT was initially issued. Also, it is where the largest part of its supply reportedly resides. Tron comes with a deluge of offers, with at least 20 percent annualized interest rate when it comes to holdings being one of them.

Unfortunately, the highly anticipated reward program is currently not moving forward. Until there is clarity involving Bitfinex and Tether, the decision to do so will remain firm, according to Justin Sun, the CEO of Tron.

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