Federal law enforcement seized assets from a payment processor used by an offshore financial entity to interact with the American economy. EQIBank, which serves as a banking partner for stablecoin issuer Tether, is now fighting to recover approximately $90 million in funds held by that payment provider.

Tether stated that its assets at EQIBank are limited and represent less than 0.034% of its total holdings. The offshore bank is reportedly facing liquidation risks as a result of the funds being seized from its U.S. payment partner.