Tether Lawsuit Sparks Concerns About Regulatory Capture in Cryptocurrency

Social media chatter suggests a new stablecoin law proposal could severely impact offshore issuers like Tether, potentially barring them from holding US Treasuries. This echoes the tactics employed by FTX and its CEO Sam Bankman-Fried, who attempted to shape regulations for their own benefit and hinder DeFi protocols. Tether’s CEO Paolo Ardoino has accused competitors of pursuing ‘kill Tether’ strategies through political and legal means. 2023’s regulatory landscape is creating an atmosphere resembling the pre-FTX crash era.