Tether has confirmed that it holds assets at offshore banking partner EQIBank, but said the exposure represents less than 0.034% of the group’s total assets, after U.S. prosecutors moved to forfeit roughly $84.2 million seized from Capstone-linked accounts and cryptocurrency addresses.
According to court documents, a September 14 federal court order lists about $79.11 million seized from a Wells Fargo Securities account in Capstone’s name, $1.86 million from a Wells Fargo Bank account, and about $2.06 million from a JPMorgan Chase account. Prosecutors also named 1.12 million USDT from one crypto address and 54,578.45 USDT from another. Combined, the listed property totals roughly $84.2 million.
EQIBank claims U.S. authorities seized approximately $89 million belonging to it through Capstone, representing around 80% of its monetary holdings, and has warned that losing access to the funds could place it at risk of liquidation. EQIBank began its federal challenge in June under Rule 41(g), but U.S. District Judge Dale A. Drozd denied its property-return motion after the government filed a separate civil forfeiture complaint on July 15.
Tether’s June attestation reported $187.75 billion in assets, $183.64 billion in liabilities and a $4.11 billion excess reserve buffer. Applying the 0.034% ceiling to that figure gives an upper-bound reference of roughly $63.8 million in EQIBank exposure, though the actual amount could be lower. Tether also completed its first full KPMG U.S. audit for 2025, with reserves exceeding liabilities by $6.814 billion at year-end.
A Tether spokesperson said the company “had no knowledge of the conduct by Capstone alleged by the Department of Justice,” and described the EQIBank assets as limited. The forfeiture litigation remains active in the Eastern District of California, with parties given up to 60 days after publication to file claims. The situation adds to scrutiny of stablecoin banking relationships, although Tether’s disclosed exposure remains small relative to its total reserve base.
