Tether CEO Paolo Ardoino has responded to Ripple CEO Brad Garlinghouse’s recent comments regarding the United States government’s scrutiny of Tether, the largest stablecoin issuer worldwide. Ardoino took to social media platform X to address the potential agency action against Tether and criticized Garlinghouse for spreading fear about the stablecoin, citing the ongoing investigation by the U.S. Securities and Exchange Commission (SEC) into Ripple and its plans to launch a competing stablecoin to Tether’s USDT.
Ardoino highlighted that USDT is the leading stablecoin in terms of market share, with millions of users globally. He emphasized its positive impact on banking users in developing economies. Ardoino also outlined several factors that make USDT compliant and widely used, including Tether’s collaboration with over 124 law enforcement agencies in more than 40 countries. He stated that since its launch, Tether has blocked over $1.3 billion worth of assets connected to scams, hacks, and money laundering, with more than $639 million blocked in collaboration with U.S. law enforcement.
Additionally, Ardoino revealed that Tether has voluntarily complied with 198 requests from law enforcement to block wallets in the past year, with 90 of those requests coming from U.S. law enforcement agencies. In the last three years, Tether has complied with 339 requests, 158 of which were from U.S. law enforcement.
Ardoino concluded his response with a remark about other stablecoin issuers, stating that Tether works directly with law enforcement agencies, unlike other issuers who only comply with judicial orders.
Garlinghouse’s comments during a podcast interview, where he mentioned a “100%” chance of another crypto-related black swan event, prompted Ardoino’s response. While Garlinghouse did not elaborate on the reasons behind his assessment of the U.S. government targeting Tether, he acknowledged the stablecoin’s role in the crypto market.
Many individuals in the crypto community interpreted Garlinghouse’s remarks as a sign of impending regulatory action by the U.S. government, while others viewed it as a competitive tactic ahead of Ripple’s stablecoin launch.
Cointelegraph reached out to Tether for further comments but has not received a response yet.
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