Senate Democrat Presses Cantor Fitzgerald on Tether Ties and Lutnick Family Profits
Sen. Richard Blumenthal wants Cantor Fitzgerald to open its records on Tether and on how much Commerce Secretary Howard Lutnick's family has earned from its business deal.
Senator Richard Blumenthal, the ranking Democrat on the Senate's Permanent Subcommittee on Investigations, has written to Cantor Fitzgerald chairman Brandon Lutnick seeking records on the firm's partnership with Tether. Blumenthal wants to know how Cantor Fitzgerald monitors Tether's compliance with banking and sanctions laws, as well as communications involving Commerce Secretary Howard Lutnick about Tether.
According to Cointelegraph, Cantor Fitzgerald acquired a 5% stake in Tether in 2024 and reportedly holds tens of billions of Tether's US Treasury bill reserves. The arrangement has allegedly been lucrative, with Blumenthal claiming that Cantor's stake in Tether increased in estimated value from $600 million to $10 billion since Trump returned to office. He also alleges that Howard Lutnick received more than $250 million in that period, including a $192 million distribution.
The inquiry comes after a report by Democratic investigators alleged that Tether's USDT has become a key tool for Iran's shadow banking network. Blumenthal expressed concern that Cantor Fitzgerald's business arrangements with Tether may be compromising America's national security.
Brief written by urgent.news from Decrypt, Cointelegraph, CoinDesk — 3 reports on this story. Machine-written — may contain errors; check the original before relying on it.
