Ripple CEO Brad Garlinghouse warned that the US government is targeting Tether, the issuer of the largest stablecoin USDT by market capitalization.
Garlinghouse made the announcement while appearing on a new episode of the World Class podcast with Chris Vasquez.
US Government Targets Tether
According to Garlinghouse, possible US action against the issuer of USDT could cause significant upheaval in the cryptocurrency space.
The Ripple CEO's remarks come amid a series of news reports about the use of USDT by terrorist organizations and countries under sanctions to circumvent US financial restrictions. In April, US Treasury Undersecretary Adewale Adeyemo testified before the Senate Banking Committee, highlighting Russia's growing use of Tether payments to circumvent economic sanctions.
The UN report also highlighted the widespread use of cryptocurrencies for money laundering, noting that USDT issued on the TRON blockchain is often used on illegal online gambling platforms.
Despite these challenges, Tether emphasizes compliance and cooperates with law enforcement to combat illegal financial activities. The company is taking active measures, including blocking addresses involved in illegal activities.
USDT, meanwhile, maintains its leadership position in the stablecoin sector, significantly ahead of its closest competitors USDC and DAI. The market capitalization of the asset exceeds $110 billion, and Tether’s net profit in the first quarter of 2024 reached $4.52 billion.
Source: Cryptocurrency
I am an experienced journalist and writer with a career in the news industry. My focus is on covering Top News stories for World Stock Market, where I provide comprehensive analysis and commentary on markets around the world. I have expertise in writing both long-form articles and shorter pieces that deliver timely, relevant updates to readers.
