Tether reportedly shuts USDT redemption for some Singapore customer groups
Tether in its email said they found Cake DeFi to be controlled by “another corporation that resides in Singapore,” and thus they won’t be allowed to redeem USDT.
Tether, the largest stablecoin issuer behind USDT, has reportedly changed its terms of services (ToS) in Singapore. An email shared by the decentralized finance protocol Cake CEO on Sept. 25 shows the changes to Tether's ToS prohibiting certain customer base from redeeming USDT.
The CEO of Cake Group Dr. Julian Hosp took to social media platform X (formerly Twitter) to share the email received from Tether informing that they cannot redeem USDT for USD due to the changes in the ToS of the stablecoin issuer just one day ago.
Ok, so, I won't be able to tell you if redeeming $USDT into $USD is actually possible, due to being in #Singapore, which was a recent change to the @Tether_to ToS from one day to another. Interesting. pic.twitter.com/1YzNqkbjMO
— Dr. Julian Hosp (@julianhosp) September 25, 2023
Hosp in his X post noted that based on the recent mail, they are not sure whether they would be able to redeem USDT into USD due to being in Singapore.
The key changes to the ToS of Tether include restricting its onboarding standards and “corporates controlled by another entity, directors, and shareholders residing in Singapore are no longer permitted to be Tether customers."
The term “controlled by another entity” confused many in the crypto community including Cake DeFi which was informed that they “are controlled by another corporation in Singapore. Accordingly, you will not be permitted to be issued or redeemed from the platform."
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