Tethers Sudden U-Turn: Political Connections Behind US Move?
- Tether CEO Ardoino seeks active US role, aiming to influence stablecoin bills in Congress, citing competitor size.
- The stablecoin issuer plans a new US-compliant stablecoin alongside USDT, pursuing a full audit for transparency.
- Amid scrutiny and political ties, Tethers US engagement marks a strategic shift to counter critics and leverage a favorable environment.
Tether is ready for its US chapter, as CEO Paolo Ardoino is reportedly in talks with American lawmakers and regulators for a more active role. As per a Forbes report, Ardoino and his firm want to be key influencers in the ongoing dialogue of the future of digital assets, especially as two rival stablecoin bills are moving forward in both chambers of Congress.
I think its important that our voice gets heard in the stablecoin bill process. Our competitors are very tiny. They dont represent the actual use cases of stablecoins, says Ardoino.
Not only that, the issuer of the $144 billion USDT stablecoin is even exploring plans to launch a new stablecoin in the United States. Ardoino claims that it enjoys a first-mover advantage that allowed it to capture a large market share, especially in emerging markets.
With regards to the new stablecoin, Ardoino clarified it wouldnt replace USDT but would be a parallel product in compliance with the American laws. To ensure complete transparency, Tether would initiate a full financial audit and is currently in discussions with one of the Big Four accounting firms.
As Tether embarks on this bold expansion, Ardoino claimed that it is a strategic move to flip the narrative that the firm is evading U.S. oversight. Some of our competitors have tried to push regulations towards killing USDT Their entire strategy was, Tether will never be in the US. It is afraid to come to the US. Well, here we are.
Unpacking Tethers Changing Strategy
While launching a new coin serves as a direct response to his critics, the timing of the announcement has raised questions. In particular, USDT has come under increased scrutiny, like Binance delisting USDT from its European platforms due to non-compliance. Tethers abrupt willingness to engage with American institutions could be just more than a signal of confidence but a strategic shift based on changing political and regulatory dynamics.
This turnaround, along with growing pressure to legitimize operations, may have prompted the leadership to change gears. Another possible factor is the reported 5% stake of recently appointed U.S. Commerce Secretary Howard Lutnick in Cantor Fitzgerald, a firm closely linked to Tether (via partnerships and custodial roles).
With such influential political figures now indirectly tied to the firm, Tether might be leveraging a more favorable environment to enter the market, something it had avoided until now.
Read more: https://www.tronweekly.com/tether-political-connections-us-move/
Text source: TronWeekly
