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Tether CEO defends USDT reserves amid investigation claims

Tether CEO defends USDT reserves amid investigation claims

GrafaGrafa2024/10/28 20:37
By:Mahathir Bayena

At the Lugano PlanB event in Switzerland, Tether CEO Paolo Ardoino addressed allegations from a recent *Wall Street Journal* report that claimed the United States government is investigating Tether. 

In response, Ardoino outlined the reserves backing the Tether-USD stablecoin (CRYPTO:USDT), asserting the company’s commitment to transparency. 

Ardoino disclosed that Tether’s reserves include approximately $100 billion in US treasuries, over 82,000 Bitcoin (CRYPTO:BTC) valued at $5.5 billion, and 48 tons of gold. 

The CEO’s remarks came amid concerns raised by the WSJ article, which accused Tether of violating anti-money laundering laws and US sanctions. 

Ardoino firmly denied the report’s claims, stating, “There is no indication that Tether is under investigation. WSJ is regurgitating old noise. Full stop.” 

In addition to rejecting the investigation allegations, Ardoino emphasized Tether’s active role in assisting law enforcement. 

He highlighted the company’s efforts in helping recover around $109 million linked to illicit activities since 2014, noting, “We deal regularly and directly with law enforcement officials to help prevent rogue nations, terrorists, and criminals from misusing USDT.” 

Ardoino added, “We would know if we are being investigated as the article falsely claimed.” 

The CEO also critiqued US regulatory policies, suggesting they lag behind those of other countries. 

He expressed optimism that the situation may change following the 2024 US presidential election, which he believes could foster a more supportive environment for digital asset firms. 

In October 2024, Tether’s USDT achieved a market capitalization of $120 billion, signaling growing investor confidence. 

Market analysts view this milestone as a potentially bullish indicator for the broader cryptocurrency sector, suggesting upward price momentum in the coming months.

At the time of reporting, the Tether price was $0.9983.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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