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“US Government is After Tether (USDT)” Says CEO of Ripple Labs

source-logo  thecoinrepublic.com 13 May 2024 17:20, UTC

The CEO of Ripple Labs, Brad Garlinghouse, has shared his views on Tether being the next crucial target of the US government that can impact the global crypto market.

Brad Garlinghouse, the CEO of Ripple Labs, recently appeared in an insightful discussion. He discussed various topics surrounding various aspects of Ripple’s journey, the crypto industry, and the impact of enhanced regulations on the crypto market.

Ripple Labs, a USA based fintech firm, is popular for its seamless cross-border transactions and payment facilitations. However, since December 2020, the firm has faced significant legal issues because of an impactful lawsuit. The United States Securities and Exchange Commission has filed a lawsuit against the company for its financial activities involving its own cryptocurrency, XRP.

In the recent interview, he primarily highlighted that the next crucial target for the US government is believed to be Tether. It is a top stablecoin firm and is responsible for the circulation of its own developed stablecoin, USDT.

As he said, “US government is going after Tether; it is clear to me. It being the most important part of the ecosystem.”And he issued a “black swan warning” about Tether.

🚨JUST IN: US Government Is Suing Tether #USDT !?! 🚨🇺🇸

Ripple CEO Brad Garlinghouse Issued a Black-swan Warning about Tether, The Largest Stablecoin Issuer On The Planet! 🌎

"The US Government Is Going After Tether. That Is Clear To Me." – @bgarlinghouse

This Would Have A… pic.twitter.com/X7qfNfygCN

— Good Morning Crypto (@AbsGMCrypto) May 12, 2024

What Are His Views?

The Ripple CEO said that he sees Tether as one of the most crucial and biggest parts of the crypto market’s system. However, he is not sure how this can impact the overall crypto market. In his view, it will be most interesting to watch.

The CEO’s statement is concerning and alarming because Ripple has been the only firm in the industry that stood up to against US SEC’s allegations for so long. With a series of allegations and lawsuit hearings, Ripple has garnered significant legal experience.

USDT Became A Safe Option For Criminals

However, at this point in time, it is important to note that a couple of months ago, government agencies shared some reports stating that Tether (USDT) has become an preferred payment option for terrorist organizations, illegal fundings and money laundering.

In contract, Tether executives disagreed with it and said that USDT was never used in any substantial illegal activities, whereas not so significant misuse of USDT stablecoin was encountered and halted there itself.

The listeners, viewers or readers have considered this information a big insider report that can have a substantial impact on the overall crypto market. If the information turns out to be true, then it will create a high sale volume and increase in number of transactions, eventually leading to downward pressure on the prices of USDT stablecoin.

Nevertheless, the revelation of this statement and views has not created any major impact on the market as of now.