Russian bank chief warns Tether can freeze USDT holdings at U.S. direction
Russians could see assets held in USDT, one of the world’s most popular stablecoins, frozen, according to Petr Fradkov, head of PSB — a key bank serving Russia’s military-industrial complex.
Petr Fradkov, chief of Russia's PSB bank, has warned that assets held in USDT, a widely-used stablecoin, could be frozen at the direction of the U.S. administration. Tether Limited maintains full control over the USDT it issues and can freeze funds not only in accounts linked to illegal activity but also "simply at the direction of the U.S. administration," Fradkov stated.
He noted that Tether, a significant holder of U.S. Treasury securities, "does not go away" despite technological advancements. Fradkov emphasized the ongoing full control of the issuer, raising questions about who controls the infrastructure supporting the stablecoin's circulation. PSB, co-owner of A7, which issued the ruble-pegged A7A5 stablecoin since 2025, cited a transaction volume of nearly $140 billion, processing up to 2,000 payments daily.
The PSB chief highlighted the importance of developing its own digital financial instruments and payment infrastructure due to perceived control over the Tether ecosystem by its issuer.
Written by urgent.news from New Voice of Ukraine's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
