Senator probes Tether’s reported $6 million payments to ex-White House crypto adviser’s firm

Senator Richard Blumenthal, the ranking Democrat on the Senate Permanent Subcommittee on Investigations, has demanded records from Tether regarding multimillion-dollar payments to a consulting firm co-owned by former White House crypto adviser Bo Hines.

The inquiry follows reports that Tether sent more than $6 million to Nxum, a consulting firm co-founded by Hines, while he helped develop the Trump administration's cryptocurrency policies.

Alleged payments and lobbying

Tether agreed in May 2025 to pay Nxum $415,000 per month for strategic lobbying, public relations, and other advisory services. At the time, Hines served as executive director of the White House's digital asset advisory council and retained a one-third ownership interest in Nxum.

Blumenthal accused Hines of advocating changes to the GENIUS Act that would particularly benefit Tether, including provisions allowing foreign stablecoin issuers additional time to meet US regulatory requirements.

These accommodations carried considerable commercial significance for Tether because its flagship USDT stablecoin operates through an offshore issuance structure.

Intermediary arrangements

Tether initially routed cryptocurrency payments through Notorious, a marketing company headed by Peter Vincer, rather than contracting directly with Nxum.

The money was subsequently transferred to Nxum and distributed through additional transactions. Tether reportedly began contracting directly with the consulting firm after Hines left government service in August 2025.

The senator also cited allegations that Nxum later offered Vincer more than $300,000 and a share of future payments in exchange for signing a nondisclosure agreement.

US expansion and regulatory framework

The investigation comes as Tether pursues a domestic expansion strategy built around the same regulatory framework Hines helped develop.

In September 2025, the company named Hines head of its US stablecoin initiative, putting the former government adviser in charge of a business positioned to compete in America's regulated digital-dollar market.

Tether subsequently launched USA₮ in January 2026, with Anchorage Digital Bank serving as the token's federally regulated issuer and Cantor Fitzgerald acting as reserve custodian and preferred primary dealer.

Those requirements are approaching implementation. On Oct. 21, the Office of the Comptroller of the Currency (OCC) finalized regulations governing payment stablecoin issuers, including certain foreign companies operating under the GENIUS Act.

The rules take effect on Jan. 18, 2027, introducing federal requirements covering reserves, redemption, risk management, supervision, and issuer registration.