The technical director of Tether, the issuer of the USDT stablecoin, Paolo Ardoino, responded to criticism from former U.S. Securities and Exchange Commission (SEC) counsel John Reed Stark regarding the company’s trustworthiness. Stark expressed doubt about the company’s reliability, to which Ardoino countered that the team monitors all clients for sanctions violations. He also added that user transfers are checked using the analytical service Chainalysis to identify potential high-risk wallet connections. Ardoino emphasized that Tether is not a U.S. company, does not operate in the U.S., and does not attract users from this country. The company works mainly with underserved populations in developing markets and countries. Ardoino explained that Tether not only verifies all primary market customers but also conducts enhanced due diligence on ultimate beneficial owners, directors, and signatories. Additionally, all clients have a risk rating based on anti-money laundering (AML) programs that meet banking standards. Ardoino noted that Tether’s compliance team assists secondary market users who have unknowingly sent funds to counterfeit wallets or addresses associated with illicit activities to recover their assets. Tether has already blocked hundreds of millions of dollars in USDT, collaborating with law enforcement agencies around the world. Moreover, Tether has partnered with FBI and the U.S. Department of Justice on various cases and has returned over $100 million to victims of theft and fraud. Finally, the company is registered with the U.S. Treasury’s Financial Crimes Enforcement Network (FinCEN), regularly reports suspicious activity, and undergoes regulatory reviews. Tether’s Q1 financial report, published on May 10, showed a net profit of $1.48 billion and surplus reserves of $2.44 billion. The report was prepared by the Italian unit of BDO, one of the leading auditing firms.Director of Technology at Tether announced tracking of all clients for sanctions violations.
The technical director of Tether, the issuer of the USDT stablecoin, Paolo Ardoino, responded to criticism from former U.S. Securities and Exchange Commission (SEC) counsel John Reed Stark regarding the company’s trustworthiness. Stark expressed doubt about the company’s reliability, to which Ardoino countered that the team monitors all clients for sanctions violations. He also added that user transfers are checked using the analytical service Chainalysis to identify potential high-risk wallet connections. Ardoino emphasized that Tether is not a U.S. company, does not operate in the U.S., and does not attract users from this country. The company works mainly with underserved populations in developing markets and countries. Ardoino explained that Tether not only verifies all primary market customers but also conducts enhanced due diligence on ultimate beneficial owners, directors, and signatories. Additionally, all clients have a risk rating based on anti-money laundering (AML) programs that meet banking standards. Ardoino noted that Tether’s compliance team assists secondary market users who have unknowingly sent funds to counterfeit wallets or addresses associated with illicit activities to recover their assets. Tether has already blocked hundreds of millions of dollars in USDT, collaborating with law enforcement agencies around the world. Moreover, Tether has partnered with FBI and the U.S. Department of Justice on various cases and has returned over $100 million to victims of theft and fraud. Finally, the company is registered with the U.S. Treasury’s Financial Crimes Enforcement Network (FinCEN), regularly reports suspicious activity, and undergoes regulatory reviews. Tether’s Q1 financial report, published on May 10, showed a net profit of $1.48 billion and surplus reserves of $2.44 billion. The report was prepared by the Italian unit of BDO, one of the leading auditing firms.