Source: Jake Chervinsky, Crypto Law & Policy Newsletter, Q1 2021 in Review.

The NYDFS investigation into USDT finally came to an end with a settlement in which Bitfinex and Tether admitted to no wrongdoing, but agreed to pay $18.5 million in penalties and provide quarterly reports on the holdings backing USDT. The settlement—which suggests that the NYDFS didn’t uncover evidence of overt fraud worth pursuing further—came as a surprise to some observers who had accused Tether of market manipulation and insolvency in recent months.

Read more: Jake Chervinsky, Crypto Law & Policy Newsletter, Q1 2021 in Review.