Consumers’ Research’s Will Hild Puts Spotlight On Non-Audited Tether

cryptonews.com:

Consumer protection agency Consumers’ Research targeted Tether in a June 18 ad campaign that dubs the yet-to-be-audited blockchain platform “the next FTX.”

“Tether thrives in the shadows, refusing to be audited and constantly dodging fraud investigations,” a Consumers’ Research X claimed alongside a link to a website called TetheredToCorruption.com.

The website features several negative claims about the British Virgin Islands-based company, including allegations of financing illicit crypto funding, bolstering organized crime, involvement in money laundering, terrorist financing, and sanctions evasions.

NEW: We're sounding the alarm on the threat so-called “stablecoin” @Tether_to poses to consumers and their suspicious business practices.

Tether thrives in the shadows, refusing to be audited and constantly dodging fraud investigations. https://t.co/CNdS5BUUMe

— Consumers' Research (@ConsumersFirst) June 18, 2024

“Given these warning signs, we fear that that Tether may very well be the next FTX,” Consumer’s Research Executive Director Will Hild stated. “Consumers should be weary of any so-called stablecoin that refuses to properly certify that they actually hold the assets they claim.”

The blockchain platform has long faced claims surrounding its lack of transparency, particularly concerns that it fails to have sufficient asset reserves.

Founded by “Mighty Ducks” star Brock Pierce in 1994, Tether has reportedly never been officially audited, prompting skepticism from critics of the stablecoin. Pierce is no longer affiliated with the company.

In lieu of full audits, which are conducted by an independent third party and take into account all company records, Tether relies on attestations typically executed by a hired financial firm