Sen. Richard Blumenthal is demanding data from Tether over reported multimillion-dollar funds to a consulting agency co-founded by Bo Hines, the White Home’s former high crypto adviser.
Blumenthal, the rating Democrat on the Senate Everlasting Subcommittee on Investigations, stated Thursday he had despatched letters to Tether CEO Paolo Ardoino and to Nxum, the consulting agency Hines began together with his father, in a press launch from his workplace. The letters request data and knowledge associated to contracts, funds, communications and lobbying between Tether and Nxum. A 3rd letter reportedly went to Hines himself.
The inquiry targets funds Blumenthal’s letter describes as exceeding $6 million, reportedly beneath a strategic communications association that started weeks after Hines took workplace. Hines led the President’s Council of Advisers on Digital Property from January to August 2025, then joined Tether as a strategic adviser and later grew to become chief govt of Tether US. Throughout his White Home tenure he helped steer the GENIUS Act, the primary federal framework for stablecoins, via Congress, and Tether launched its US-based stablecoin USAT beneath the brand new regulation.
“Tether’s alleged multimillion-dollar fee to a agency managed by the White Home official primarily answerable for cryptocurrency coverage implicates federal ethics, anticorruption, and lobbying legal guidelines,” Blumenthal stated within the letter.
Tether pushed again. An organization spokesperson stated Tether is conscious of the allegations that type the idea of the senator’s letter, and that “exterior counsel beforehand carried out an in-depth inside investigation into the matter, which discovered no proof of wrongdoing.” The corporate, which points the world’s largest stablecoin, stated it was nonetheless reviewing the letter.
It’s the senator’s second transfer in opposition to Tether in a month. Final month his workplace launched findings that Tether had develop into central in Iran’s shadow banking system and the financing actions of terrorist teams, which Tether disputed on the time, saying it helps authorities discover dangerous actors. The brand new letter is an inquiry and doesn’t set up that Tether, Hines or Nxum acted unlawfully.