Cyber Capital founder calls Tether a $118B Fraud, bigger than FTX and Madoff
In a string of posts on X, Justin Bons tagged Tether as the largest fraud in crypto history, warning of its failures and the threat it poses. He even advocated for people to halt their purchases of Tether’s token
Cyber Capital founder Justin Bons has criticized stablecoin issuer Tether, labeling it an “existential threat” to the crypto industry. Bons believes Tether is a $118 billion fraud, larger than FTX and Madoff’s crypto scandals.
In a string of posts on X, Justin Bons tagged Tether as the largest fraud in crypto history, warning of its failures and the threat it poses. He even advocated for people to halt their purchases of Tether’s token, USDT, saying the platform has never had a formal audit and has been on fire for document falsification and identity concealments.
Cyber Capital founder Justin Bons warns of Tether’s transparency issues
In one of his posts, he said:
Tether is a 118 billion dollar scam; bigger than FTX & Bernie Madoff combined! No proof of reserves & an audit has never been done; USDT is printing counterfeit money (fraud). Caught falsifying documents, obscuring identities & lying about reserves. Stop using USDT now!
Bons also remarked that Tether’s risk of collapse surpasses that of Terra Luna. He expressed concern over the lack of proof for their claimed $118 billion in collateral and noted that the CFTC had even fined Tether in 2021 for falsely representing their reserves.
He also asserted that the platform has never undergone an audit, despite its 2015 commitment. He alleged that the firm hired for the first audit attempt in 2018 was dismissed for being “too thorough”.
