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Tether denies allegations of illegal USDT transactions

Tether denies allegations of illegal USDT transactions
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CEO of Tether, Paolo Ardoino, has denied that his company is under investigation by federal agencies in the United States. In his post on platform X, he commented on a report by the Wall Street Journal (WSJ), which discussed a potential inquiry into Tether's operations due to violations of anti-money laundering laws and sanctions compliance.

“As we have already informed WSJ, there is no indication that Tether is under investigation. WSJ is merely retelling old stories. That’s all,” Ardoino wrote.

Ardoino also added that Tether regularly collaborates with law enforcement to prevent the use of USDT by criminals, claiming that if the company were indeed under investigation, it would be aware of it.

“Based on this, we can confidently state that all allegations in the article are completely false,” he noted.

According to WSJ, the Manhattan District Attorney’s office is looking into whether criminals have used the USDT stablecoin to finance illegal activities or launder money. The article also mentioned that the U.S. Treasury Department is considering imposing sanctions on Tether due to the use of USDT by entities that are already under U.S. sanctions. This follows another publication by the Wall Street Journal, where reporters concluded that Tether provides tools for fraudsters and other participants in the shadow financial market to conduct illegal operations and evade sanctions.

Furthermore, the lack of a full independent financial audit of the company raises concerns among regulators and investors.

It’s worth noting that this month Tether celebrated its 10th anniversary. Additionally, the market capitalization of the USDT stablecoin reached a record $120 billion. Moreover, in the third quarter of 2024, 36.25 million new users were added; the total number of wallets and accounts in the network reached 330 million, equivalent to the population of the United States.

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