Tether Was a Client of Signature Bank's Signet: Bloomberg

Tether CTO Paolo Ardoino, in response to the Bloomberg article, denied the company has exposure to Signature Bank.

AccessTimeIconApr 4, 2023 at 8:11 p.m. UTC
Updated May 9, 2023 at 4:11 a.m. UTC

Tether, the world's biggest stablecoin issuer, was a client of Signature Bank's widely used Signet payment network, Bloomberg reported.

Tether, according to Bloomberg, used Signature Bank's Signet payments platform to transfer U.S. clients' funds to Capital Union Bank, the issuer's banking partner in the Bahamas up until Signature Bank shut down in March and was taken over by regulators.

Tether Chief Technology Officer Paolo Ardoino, in response to the article, tweeted that Tether "didn't have any direct or indirect exposure to Signature."

Signet, which started in 2019 as a real-time payments platform and was an important technology for many institutional crypto clients, including exchanges Coinbase and Kraken, continues to operate even after regulators shut down the bank.

CORRECTION (April 6, 2023, 17:15 UTC): After Bloomberg corrected their story, this story has been updated to say that Tether was a user of Signature Bank's Signet.

Edited by Nick Baker.


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Helene is a U.S. markets reporter at CoinDesk, covering the US economy, the Fed, and bitcoin. She is a recent graduate of New York University's business and economic reporting program.

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