The Wall Street Journal, citing anonymous sources, reported that the U.S. government is investigating Tether.
Tether’s CEO Responds to Allegations on Reserve Transparency:
During Switzerland’s Lugano PlanB event, Tether CEO Paolo Ardoino addressed concerns following claims that the U.S. Department of Justice and Treasury are investigating Tether. Ardoino disclosed that Tether’s reserves include around $100 billion in U.S. Treasuries, 82,000 Bitcoin worth approximately $5.5 billion, and 48 tons of gold, supporting the USDT stablecoin.
He emphasized these reserves in light of uncertainty stirred by the recent Wall Street Journal article, which alleged that Tether is under scrutiny for possible violations of anti-money laundering laws and U.S. sanctions. Ardoino rejected these claims, stating, “There is no indication that Tether is under investigation. The WSJ is recycling old rumors.”
He also reiterated Tether’s active collaboration with law enforcement to combat illicit activities involving USDT, adding that Tether has helped recover about $109 million linked to fraud, sanctions evasion, and cybercrime since 2014.
Ardoino voiced criticism of the U.S. regulatory approach, suggesting it has driven crypto innovation abroad. However, he expressed optimism that the U.S. regulatory landscape may improve post-2024 elections.
In October, Tether’s market capitalization reached $120 billion, a milestone viewed positively by many in the crypto market, signaling potential market growth in the near future.
