The post ‘Won’t let Tether die’ affirms CEO as STABLE Act gains ground appeared on BitcoinEthereumNews.com.

Journalist Posted: February 16, 2025 Tether collaborates with U.S. lawmakers to influence stablecoin regulations and ensure compliance. SEC reviews digital asset ETFs, including XRP, SOL, and DOGE, amid regulatory developments. Tether, the largest stablecoin issuer, is reportedly engaging with U.S. lawmakers to shape federal stablecoin regulations. The company is working alongside Representatives Bryan Steil and French Hill on the STABLE Act, introduced on the 6th of February, while also providing input on other proposed stablecoin legislation. Tether CEO weighs in Remarking on the same, Tether CEO Paolo Ardoino emphasized the company’s commitment to contributing to the evolving regulatory framework and said,  “We are going to work within the regulatory framework, and we are going to try to advise on every single one of these field proposals to make sure that our voice is heard.”  Needless to say, the legislation aims to tighten stablecoin regulations by mandating issuers to maintain reserves solely in high-quality, liquid assets such as U.S. Treasury bills and insured deposits. JPMorgan on the upcoming challenges As the dominant player in the stablecoin market, Tether currently holds over $114 billion in short-term Treasury bills. However, JPMorgan analysts suggest that regulatory changes could force the company to offload portions of its Bitcoin [BTC] and precious metals reserves to ensure compliance. Additionally, the proposed framework would require Tether to transition from quarterly assessments by BDO to monthly audits by a U.S.-based accounting firm, ensuring that all reserves align one-to-one with regulator-approved assets. However, Ardoino has pushed back against these claims, arguing that JPMorgan’s assessment reflects a misunderstanding of the company’s financial operations and the broader regulatory landscape. He added,  “We are not going to just throw in the towel and let Tether die just for the sake of not adapting to U.S. legislation. But there is still a lot of…

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Filed under: News - @ February 16, 2025 11:13 am