As a seasoned crypto investor who has navigated the digital financial landscape for years now, I must admit that news of potential investigations and sanctions against Tether, the issuer of USDT stablecoin, stirs a mix of skepticism and caution. While I’ve seen my fair share of accusations leveled at various players in this space, the sheer volume of USDT trading globally ($190 billion daily) makes it hard to ignore.
According to a statement made by Tether CEO, Paolo Ardoino, there has been no truth found in the rumors circulating about lawmakers probing the significant crypto firm for allegedly breaching anti-money laundering and sanctions regulations.
The ongoing probe, spearheaded by Manhattan district attorneys, centers around the possibility that Tether’s digital currency (USDT) may have been involved in financing illicit operations like drug trading or terrorism, or in laundering funds derived from such activities. This is based on information from The Wall Street Journal.
Simultaneously, there are plans at the U.S. Treasury for potential sanctions against Tether, according to the Wall Street Journal.
The possibility exists that American businesses may be prohibited from dealing with this company due to allegations that their cryptocurrency has reportedly been utilized by individuals and entities under international sanctions, such as Russian arms traders and the militant organization Hamas.
Tether’s CEO, Paolo Ardoino, strongly refuted these claims, stating via X: “We previously informed the Wall Street Journal that Tether is not being investigated. The Wall Street Journal is merely repeating old, unsubstantiated rumors. Period.
Past criticisms of Tether
Last September, Consumers’ Research published a critique stating that Tether, the company behind the USDT stablecoin, has fallen short on transparency. Specifically, they haven’t carried out a comprehensive audit of their dollar reserves as previously pledged since 2017, despite these commitments.
In simpler terms, the report drew comparisons between Tether’s activities and those of the failed exchange FTX, expressing worries about possible involvement in skirting international sanctions, notably in nations such as Venezuela and Russia.
Tether’s digital currency, often referred to as a ‘stablecoin’, maintains its worth relative to the American dollar, contrasting with other cryptocurrencies such as Bitcoin that are known for their price fluctuations. This stability makes Tether appealing in areas where using or accessing the U.S. dollar is either limited or forbidden.
Globally, Tether, a type of digital currency, is exchanged to the tune of approximately $190 billion every single day, making it the most commonly used cryptocurrency on Earth.
Although Tether maintains no links to unlawful actions, they have taken precautions to avoid misappropriation of their cryptocurrency. They’ve done this by collaborating with companies specializing in tracking transactions.
Read More
- Gremlins 3 and The Goonies 2: Are They Too Scary for Kids Today?
- Dragon Ball Z’s Spinoff Daima Is Officially Available In English, And I Think Fans Should Be Watching For One Major Reason
- OHGEESY Announces ‘Paid N Full’ Album
- Wolf Man” Director Declares “Invisible Man
- Top gainers and losers
- Zamna In Tulum Is Taking Your Festival Experience To The Next Level
- Anurag Kashyap’s heartfelt birthday wish for ‘now married’ daughter Aaliyah Kashyap is proof that he misses her
- Raj Babbar’s daughter Juhi Babbar shares at what age father told her about his second wife, Smita Patil; any guesses?
- RSR PREDICTION. RSR cryptocurrency
- SEC Refutes Ripple’s Argument to Reduce $2B Fine
2024-10-25 21:46