David Edwards
The United States is falling behind in establishing clear cryptocurrency regulations, but change may be on the horizon after the upcoming elections, according to Paolo Ardoino, CEO of Tether, the world’s largest stablecoin issuer. Speaking at the DC Fintech Week conference on October 22, Ardoino expressed concern about the U.S.’s slow response to the evolving crypto landscape.
“There is no place like the US,” Ardoino remarked, emphasizing the country’s historical leadership in technological advancements. However, he noted that for the first time, the U.S. is “dropping the ball” in the crypto regulatory space, causing uncertainty for the industry.
The Need for Sensible Crypto Regulations
The lack of comprehensive crypto-specific regulations in the U.S. has been a contentious issue, with the industry advocating for rules that recognize the unique nature of cryptocurrencies and stablecoins. According to Ardoino, clear and sensible regulations are crucial to protecting consumers and ensuring market stability. He added that whoever wins the upcoming U.S. elections must prioritize crypto regulation to restore the country’s leadership in this critical area.
“Everyone, every single regulator in the world, will look at the US for the right regulation,” Ardoino stated, underscoring the global significance of U.S. regulatory decisions.
US Crypto Industry’s Push for Influence
Crypto firms in the U.S. have invested at least $130 million to influence the current election cycle, with most contributions supporting Republican candidates in key Senate and House races. Republican candidate Donald Trump has included pro-crypto policies in his campaign, while Democratic contender Kamala Harris has also voiced support for crypto, particularly in her outreach to Black male voters.
Tether’s Commitment to Transparency
Tether, which issues the widely-used stablecoin USDt, has faced regulatory scrutiny in the past, particularly around transparency and compliance issues. Ardoino emphasized that the company is now “doubling down” on communication and transparency to address these concerns. “Compliance is very, very important,” he said, noting that Tether has always been committed to regulatory compliance, even if it hasn’t always been perceived that way in the U.S.
Tether’s stablecoin, USDt, has become a financial lifeline for many people worldwide, particularly in regions where access to stable currencies is limited. According to Ardoino, proper regulation in the U.S. will allow USDt to continue serving these communities effectively.
