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US Administration is Targeting Stablecoin USDT: Brad Garlinghouse

source-logo  coinedition.com 13 May 2024 06:44, UTC

The chief executive of American blockchain payments firm Ripple, Brad Garlinghouse, stated recently that the United States government, under the leadership of President Joe Biden, is going after Tether, the issuer of the largest stablecoin by market capitalization, USDT.

In a post on social media platform X, Garlinghouse noted that he believes USDT and Tether to be an important part of the crypto ecosystem and doesn’t “know how to predict” the impact that the US government’s crackdown on the stablecoin “would have on the rest of the ecosystem.”

In an interview, Garlinghouse talked about multiple events that are currently going on in the digital asset sector, including Binance founder Changpeng Zhao’s arrest and the existing threat to Bitcoin from a technological standpoint.

It is important to note that the American government found information about the usage of USDT by terrorist organizations and by users in the countries sanctioned by the United States. As a result, in April, Adewale Adeyemo, the US Treasury Deputy Secretary, testified before the Senate Banking Committee while pointing out Russia’s usage of USDT and alternative payment methods to bypass US sanctions.As per earlier reports, Ripple recently disclosed its intention to debut a stablecoin pegged 1:1 to the US dollar on the XRP Ledger. While the current stablecoin market value stands at $150 billion, the American fintech firm predicted that the value would surge to $2.8 trillion by 2028.

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