Circle Requested U.S. Legislators to Empower the Treasury Department to Clamp Down on USDT

Reported by The Defiant, the stablecoin wars have reached Washington, D.C.

Representatives from Circle and Coinbase testified last week in front of Congress, requesting that the legislative body grant additional powers to the U.S. Treasury to crack down against Tether and its U.S.-based banking partner, Cantor Fitzgerald.

“I personally believe no company should be allowed to reference the US Dollar without having democratic values inside their USD-backed stablecoin,” said Caroline Hill, Director for Global Policy and Regulatory Strategy at Circle, the company that issues the USDC stablecoin.

Hill’s words echoed those of Grant Rabenn, Director of Financial Crimes Legal for Coinbase, who claimed that “criminals seek those off-shore platforms” that don’t offer the robustness of compliance that companies like Circle do. Tether dominates the stablecoin sector with its USDT stablecoin.

Rabenn and Hill vehemently insisted Congress take action and offer the U.S. Treasury more powers to investigate and clamp down on their number one competitor – accusing Tether of enabling money laundering and terrorist financing.