Tether CEO Paolo Ardoino has criticized Ripple CEO Brad Garlinghouse for spreading fear, uncertainty, and doubt (FUD) about Tether’s USDT stablecoin.
Ardoino emphasized Tether’s efforts to maintain a global financial system while obeying regulations by collaborating with law enforcement to combat crime.
Garlinghouse Voices Concerns
Garlinghouse expressed worry about the US government’s scrutiny of Tether in an interview with Chris Vasquez on the World Class YouTube channel.
He suggested that the US government was targeting Tether, unsure of the impact this scrutiny might have. While not labeling potential enforcement action as a major event, he predicted one could happen soon. Garlinghouse found Tether’s potential legal issues with US authorities interesting.
Tether CEO’s Response
Ardoino swiftly responded to Garlinghouse’s comments, calling him “an uninformed CEO” leading a firm under SEC investigation.
He questioned Ripple’s motives, given their plan to launch a stablecoin soon. Ardoino assured the safety of the USDT ecosystem, citing compliance efforts and collaboration with law enforcement. In a reply, Garlinghouse stated that he wasn’t spreading FUD but that he believes the US government has Tether in its line of sight as they want more control over USD-backed stablecoin issuers.
Tether’s Compliance Efforts
Ardoino updated on Tether’s compliance measures, stating they adhere to sanction lists and collaborate with law enforcement in over 40 countries.
He highlighted blocking over $1.3 billion in crypto tied to illicit activities and 339 related wallets. Ardoino expressed disappointment at mainstream crypto media’s negative narratives about Tether, despite efforts to contribute positively to the crypto space.
Ardoino reiterated Tether’s commitment to ensuring a safe global financial ecosystem, emphasizing the importance of stablecoins meeting essential requirements for widespread adoption. He pointed out USDt’s stability, liquid reserves, custodians, and compliance as key factors.
