Tether slams WSJ report alleging US probe as ‘irresponsible reporting’ News ▸ US ▸ Tether ▸ Regulation
Tether slams WSJ report alleging US probe as ‘irresponsible reporting’
Paolo Ardoino stated that the WSJ is 'regurgitating old noise,' claiming that Tether is not under investigation in the US.
1 min read
Updated: Oct. 25, 2024 at 8:45 pm UTC
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Tether CEO Paolo Ardoino denied reports about the firm being under investigation in the US.
Ardoino’s clarification comes after a Wall Street Journal report claimed that federal prosecutors in Manhattan are allegedly investigating the stablecoin issuer.
Ardoino said:
“WSJ is regurgitating old noise. Full stop.”
Tether also denied the claims of an investigation in an official statement and slammed the Wall Street Journal for “irresponsible reporting.”The firm added:
“These stories are based on pure rank speculation despite Tether confirming that it has no knowledge of any such investigations into the company.”
Tether also stated that the article “glossed over” its “well-documented” efforts to crackdown on bad actors in collaboration with authorities around the world.
The probe allegations come after Tether reiterated its commitment to law enforcement in September. The crypto company revealed the establishment of a dedicated External Investigations Unit staffed with former law enforcement officers, prosecutors, and forensic analysts.
Furthermore, Tether stated it had aided 180 agencies across 45 jurisdictions, frozen over 1,850 wallets tied to illicit activities, recovered nearly $114 million, and blocked $225 million connected to fraud before receiving legal orders.
Rumors of a probe
According to the WSJ report, the investigations are allegedly related to potential sanctions violations and money-laundering abuses related to Tether USD (USDT).
The report cited anonymous sources who claimed that US officials are examining whether third parties have used USDT to fund activities tied to drug trafficking, terrorism, and cybercrime or to launder illicit proceeds.
Additionally, the newspaper claimed that the Treasury Department is allegedly weighing sanctions against Tether due to its high usage among sanctioned entities, including groups like Hamas and Russian arms dealers
Mentioned in this article
Author 
Gino Matos
Gino Matos is a law school graduate and a seasoned journalist with six years of experience in the crypto industry. His expertise primarily focuses on the Brazilian blockchain ecosystem and developments in decentralized finance (DeFi).
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In this article
Launched in 2014, Tether is a blockchain-enabled platform designed to facilitate the use of fiat currencies in a digital manner.
Tether Limited
Tether Limited is the company that introduced Tether (USD₮ or USDT), an asset-backed cryptocurrency stablecoin, in 2014.
Paolo Ardoino joined Bitfinex at the beginning of 2015 and now serves as Chief Technology Officer.
