During the PlanB event in Lugano, Switzerland, Paolo Ardoino, the CEO of Tether, addressed the concerns surrounding the reserve assets supporting the company’s Tether-USD stablecoin (USDT). This comes after allegations were made that the firm was being investigated by the United States Department of Justice and the Treasury.
Ardoino revealed that Tether currently holds a substantial amount of assets, including approximately $100 billion in US treasuries, over 82,000 Bitcoin (BTC) valued at around $5.5 billion based on current market prices, and 48 tons of gold.
The CEO of Tether emphasized the presence of these asset reserves in response to the fear, uncertainty, and doubt that arose after a recent Wall Street Journal article claimed that US authorities were examining the company for potential violations of anti-money laundering laws and US sanctions.
Since the publication of the article on October 25th, Ardoino vehemently denied the allegations, stating that there was no indication of Tether being under investigation. He dismissed the article as old news being regurgitated by the Wall Street Journal.
Ardoino also highlighted Tether’s track record of collaborating with law enforcement agencies to aid in the recovery of stolen digital assets and the freezing of illicit transactions. The stablecoin firm claims to have assisted in the recovery of approximately $109 million that was used in fraudulent activities, sanctions evasion, and cybercrime since 2014.
Furthermore, Ardoino criticized the regulatory policies surrounding cryptocurrencies in the United States, stating that they lag behind those of other countries. This has resulted in many innovative digital asset firms relocating to more favorable jurisdictions. However, he expressed confidence that this situation would change after the 2024 US Presidential election.
The market capitalization of Tether’s USDT reached an impressive $120 billion in October 2024. Investors and speculators view this as a positive indication for the crypto markets, potentially driving prices higher in the upcoming weeks and months.