What Will Tether Situation Mean for Crypto?
What is happening?
The U.S. federal government is reportedly investigating Tether, issuer of the stablecoin USDT, for potential violations of anti-money laundering and sanctions laws, according to the Wall Street Journal.
As the newspaper claims, Federal investigators, led by the U.S. Attorney’s Office in Manhattan, are examining whether third parties have used Tether to fund illicit activities, although no official charges have been filed.
Following this report, Bitcoin’s price fell from $68,600 to $66,589, and Tether briefly dipped to 99.81 cents as the broader crypto market reacted to the news.
