CEO Advocates for Balanced Crypto Regulations
USDT Chief Executive, Paolo Ardoino now expects sensible cryptocurrency regulation to be enacted shortly in the United States. Speaking via virtual appearance at DC Fintech Week, Ardoino emphasized that proper regulation is needed to help safeguard its users and promote healthy innovation in the crypto world.
How Compliance Matters, How Consumer Protection Matters
He also said that Tether, the world’s largest stablecoin issuer, had been collaborating with governments of different countries to ensure compliance. As such, he thinks sensible regulation will protect the end user and ensure stablecoins act like a lifeline for those who don’t have the same opportunities that people do in the US and Europe.
According to Ardoino, “Sensible crypto regulations will protect the end user and ensure stablecoins can act as a lifeline with the same opportunities that people do in the US and Europe.
Tether’s Global Cooperation with Law Enforcement
In his speech, Ardoino said that Tether cooperates with law enforcement in more than 45 countries; among others, the FBI and U.S. Secret Service are members of this cooperation circle. Tether undoubtedly emphasizes its commitment by taking such an important step to deter illicit usage of cryptocurrencies and guarantee security for blockchain-based payment systems.
Lack of Transparency in Tether
However, Tether has also had its share of criticism. Recently, Tether was flagged for lack of transparency by the consumer watchdog Consumers’ Research. The latter noticed that this giant for stablecoin repeatedly missed an independent audit and raised a number of concerns about its financial practices.
Tether remains the leading force in today’s stablecoin market, given its dominant majority share in USD-backed stablecoins at around 71% and a market cap of around $120 billion.
Stablecoins Gaining Influence
As the growth in prominence, they have become unstoppable parts of the global financial ecosystem. According to Jeremy Allaire, CEO of Circle, stablecoins could be 10% of the global economy in ten years.
Stablecoin transaction volume outpaced Visa, for example, in the second quarter of 2024 alone, as a demonstration of their increasing utility. Meanwhile, the number of USDT users has broken above 330 million, and Tether itself continues to show its resilience after weathering billions of redemptions throughout 2022.
