Tether versus Ripple: Paolo Ardoino strikes back

The crypto row continues: according to Ripple CEO Garlinghouse says Tether is being targeted by the U.S. government. Tether CEO Ardoino sees things very differently.

This week warned Ripple CEO Garlinghouse for prosecution of Tether by the U.S. government. He worries about serious consequences for the crypto sector if the stablecoin USDT is sanctioned by the US.

Tether CEO Paolo Ardoino, however, is not leaving it at that. In a new post on X explains possible action by U.S. authorities and criticizes Garlinghouse for spreading unnecessary "fear of USDT."

"An uninformed CEO running a company under investigation by the SEC and launching a competing stablecoin (cui prodest) is reportedly spreading fear about USDT," Ardoino writes in his polemical commentary.

Ardoino went on to explain that Tether's USDT is the largest stablecoin by market share, with millions of users around the world, and that it has mainly helped people in developing countries without access to a bank.

Tether's CEO also highlighted his company's proactive measures, including blocking more than $1.3 billion related to fraud and about $1.6 million related to terrorist financing.

Tether responded to 198 requests from law enforcement agencies last year alone. About half of those came from U.S. authorities. Why this also causes problems, read in this item.

Many in the crypto community saw the Ripple CEO's earlier statements as an indication of impending regulatory action in the U.S. Ripple is indeed penetrating the stablecoin market and could become a competitor to USDT.