Tether onboards head of government affairs from PayPal

Stablecoin issuer Tether announced that Jesse Spiro will join the firm as its head of government affairs after three years at PayPal.

In a Sept. 13 notice, Tether said Spiro would be responsible for “leading policy and engagement efforts with lawmakers, regulators, and key stakeholders” in his role at the company. He was the head of regulatory relations for PayPal’s blockchain and crypto business from 2021 to 2024 and worked at Chainalysis for more than two years in roles concerning policy and government affairs. 

According to Tether CEO Paolo Ardoino, Spiro’s appointment was part of Tether’s “commitment to responsible innovation” in the crypto space. Spiro said he intended to work with industry leaders and lawmakers to help grow the ecosystem.

Source: Paolo Ardoino

Tether assisted the United States Justice Department by seizing funds stolen by bad actors in pig butchering and romance scams. However, Ripple CEO Brad Garlinghouse has speculated that US government officials plan on “going after” the stablecoin issuer, claiming that the firm could be the target of an enforcement action.

Related: Tether stablecoin issuer and Tron launch financial crime unit

In 2021, Tether paid the US Commodity Futures Trading Commission a $41 million fine after the regulator alleged it misrepresented its reserve holdings of USDT. Many have criticized the stablecoin issuer for being opaque about its reserves, with a watchdog group sending warning letters to US state officials about Tether’s lack of transparency.

The hiring announcement came amid US lawmakers considering legislation to address dollar-pegged stablecoins. The bipartisan Lummis-Gillibrand Payment Stablecoin Act, introduced in April, could provide a regulatory framework for stablecoins if signed into law.

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