Blumenthal Presses Tether on Payments to Bo Hines' Firm

Sen. Richard Blumenthal, the ranking Democrat on the Senate Permanent Subcommittee on Investigations, has asked Tether for records on payments to Nxum, a consulting firm founded by Bo Hines, the former White House crypto adviser. The Block and Decrypt reported it on Oct. 23.

Details

According to The Block, the payments were "multimillion-dollar," and the business relationship began weeks after Hines became the White House's top crypto adviser. Blumenthal wrote that such a payment to a firm controlled by the official primarily responsible for crypto policy "implicates federal ethics, anticorruption, and lobbying laws."

Decrypt, citing a Wall Street Journal investigation published Oct. 14, adds that Nxum earned $6.3 million from the Tether deal and that Hines kept a one-third stake while in government. Hines left the White House on Aug. 9, 2025, and Tether named him CEO of its US division in September. Decrypt reports a response deadline of Nov. 3.

Tether told The Block that outside counsel had already run an in-depth internal investigation and found no evidence of wrongdoing.

What this means for the market

The letter adds to political scrutiny of Tether, following Blumenthal's earlier request to Cantor Fitzgerald. It is a request for information, not a formal finding or sanction. Tether's reply by Nov. 3 will show how far the subcommittee intends to go.

There is no direct effect on USDT holders (Tether), but the issuer's reputational and regulatory risk stays in focus. Live prices are on the daily brief.