US Department of Justice Seeks Forfeiture of $84.2 Million Linked to Tether
- The Department of Justice filed a civil forfeiture complaint on July 15 targeting $84.2 million in accounts tied to Capstone Ltd., a payments firm accused of moving money for Tether without the required license.
- Of the total amount, $79.11 million was held in a Wells Fargo Securities account, with smaller amounts at JPMorgan Chase and in two USDT wallets.
- Capstone Ltd., based in Montana, is alleged to have operated as an unlicensed money transmitter in at least six states while presenting itself as an IT services company.
- Tether confirmed EQIBank processed its wire transfers but stated it had “no knowledge” of the conduct under investigation, estimating exposure at less than 0.034% of group assets.
- EQIBank warned that losing the funds could push it into liquidation, as they represent roughly 80% of its holdings.
The U.S. Department of Justice has filed a complaint seeking to seize $84.2 million linked to Capstone Ltd., which allegedly moved funds for Tether without proper licensing across multiple states. The bulk of these funds were held in a Wells Fargo account, with additional amounts at JPMorgan Chase and in USDT wallets.
This case underscores ongoing scrutiny over Tether’s financial practices and highlights potential vulnerabilities within digital banking systems like EQIBank, which faces significant risk from the seizure due to its reliance on these assets.Source
