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Tether is already under no obligation to redeem Tethers for dollars according to their own terms and conditions [1]. They are only obligated to redeem for peop

Tether is already under no obligation to redeem Tethers for dollars according to their own terms and conditions [1]. They are only obligated to redeem for people they at their sole discretion deem to be 'customers,' ([1] § 3) they can then arbitrarily delay that redemption for as long as they see fit for basically any reason ([1] § 3) and they can substitute the redemption for any assets they may or may not have on hand ([1] § 3). Most assuredly at any value they deem fit. On top of that there's a final blanket ban (net of 'exceptions') for any and all US persons ([1] § 3.3). [1] https://tether.to/legal https://tether.to/legal

JumpCrisscross 4y ago
> can then arbitrarily delay that redemption for as long as they see fit for basically any reason If they're sanctioned, they can't redeem whether they want to or not. Holding Tether if it gets sanctioned would be like having U.S. dollar bank deposits at an Iranian bank. Yes, they may have other assets, but you can't legally accept them nor their proceeds. > there's a final blanket ban (net of 'exceptions') for any and all US persons This is meaningless. Tether use U.S. dollars. They're subject U.S. jurisdiction.
- arcticbull 4y ago
  Yes I'm agreeing with you. My point is their terms of service preclude basically anyone holding Tether from redeeming Tether in exchange for US dollars at Tether's sole discretion so even so-called good actors are being ripped off. This is by no means a substitute for OFAC compliance.