Crypto

A Senate Democrat wants Tether's records on payments to Bo Hines' consulting firm

Sen. Richard Blumenthal sent letters to Tether and Nxum Group, citing Wall Street Journal reporting on payments made while Hines advised the White House on crypto. Tether says an internal investigation by outside counsel found no evidence of wrongdoing.

By Jennifer Walsh · Oct 23, 2026, 11:35 PM EDT

For information only, not investment advice.

Sen. Richard Blumenthal, the ranking Democrat on the Senate's Permanent Subcommittee on Investigations, sent letters Thursday to Tether and to Nxum Group, the consulting firm Bo Hines started with his father and another partner.

The letters lean on Wall Street Journal reporting. According to Blumenthal's release, Tether agreed in May 2025 to pay Nxum $415,000 a month after the firm pitched a lobbying and public relations campaign. The letter to Tether says more than $6 million flowed to Nxum while Hines, then advising the Trump administration on crypto policy, sought exemptions for the firm. It also alleges he lobbied for GENIUS Act changes that would mainly benefit Tether, provisions it says became known as the "Tether loophole."

Blumenthal wrote to Tether CEO Paolo Ardoino that the arrangement raises "alarming ethical and legal concerns." These are the senator's allegations, built on the Journal's reporting, not established findings. He asked for records in early November.

Tether told CoinDesk it is aware of the allegations and that "External counsel previously conducted an in-depth internal investigation into the matter, which found no evidence of wrongdoing." CoinDesk also reported that Ardoino criticized Blumenthal's earlier work on Tether this week. CoinDesk's report included no comment from Hines or Nxum.

Tags: stablecoins · congress · white-house · regulation