Foresight News reports that, according to CNN, five prosecutors including New York State Attorney General Letitia James and Manhattan District Attorney Alvin Bragg jointly sent a letter stating that the GENIUS Act signed last July failed to effectively protect scam victims and provided legal cover for stablecoin issuers “to profit from fraud.” The prosecutors stated in the letter that while the law grants legitimacy to stablecoins, it allows issuing companies to bypass key regulatory requirements necessary to combat terrorism financing, money laundering, and crypto fraud. The letter specifically named Tether and Circle, accusing both companies of poor performance in assisting law enforcement to seize and return funds, and of profiting through investments in frozen stolen funds. Data in the report shows that in 2024, Circle and Tether each profited approximately $1 billion through investments in reserves (including reserve assets supporting stolen funds). As of November last year, Circle’s frozen funds exceeded $114 million.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Utexo Raises $7.5M Led By Tether to Launch Native USDT Settlements on Bitcoin
Dubai, UAE, March 6th, 2026, Chainwire
Utexo makes Bitcoin-native stablecoin settlement practical, predictable, and easy to integrate
Utexo now announces the raise of a $7.5M seed round co-led by Tether, Big Brain Holdings, and Portal Ventures, with participation from Franklin Templeton, Maven11 C
BlockChainReporter6h ago
Tether Backs Eight Sleep in $1.5B Health Tech Deal
Tether Investments invested in Eight Sleep to build AI-powered health intelligence tools using sleep and recovery data insights.
Eight Sleep will integrate Tether’s QVAC edge AI architecture to process sleep and health data directly on devices.
Tether Investments expands into health
CryptoFrontNews6h ago
Tether Invests in Axiym to Expand USD₮ Use Across Global Payment and Treasury Infrastructure
Tether invests in Axiym to expand USD₮ access in regulated global payment systems and improve cross border payment efficiency.
Axiym infrastructure supports payment and settlement activity across 140 countries and 70 currencies using integrated treasury systems.
The partnership embeds USD
CryptoNewsLand8h ago
Rumble: Tether has committed to providing $150 million in GPU service procurement and currently holds 210.82 BTC.
Rumble disclosed in its latest financial report that it holds 210.82 Bitcoin and $237.9 million in cash, with total liquidity of approximately $256.4 million. The company will collaborate with Tether to secure $100 million in advertising spending and $150 million in GPU service procurement commitments to enhance AI infrastructure and computing power.
GateNews9h ago
Tether Invests in Axiym to Expand USDT in Regulated Global Payment Infrastructure
Tether, the issuer of the $183 billion USDT stablecoin, has made a strategic investment in Axiym, a fintech company building distributed treasury and settlement infrastructure across regulated payment ecosystems.
CryptopulseElite19h ago
Tether Backs Axiym to Expand USDT in Global Payments
_Tether invests in Axiym to expand USDT across global payment systems, aiming to streamline cross-border settlement._
Tether has made a strategic investment in Axiym, a fintech company building distributed treasury and settlement infrastructure.
The move aims to bring USDT directly into
LiveBTCNews03-05 16:05
