Senate Probe Puts Binance, Tether and Trump-Linked Crypto Firms on Notice
Sen. Richard Blumenthal has given Binance, Tether, and two Trump-linked crypto firms until January 4 to produce records for a Senate probe, warning of enforcement options for non-compliance.
Blumenthal, currently the panel's Democratic minority leader, will chair the Permanent Subcommittee on Investigations when the new Congress convenes in January. The probe follows a September staff report revealing that 84% of 846 Iran-linked wallets targeted by sanctions or seizures used USDT almost exclusively.
Iran Transactions
Tether responded to the report by citing about $550 million in Iran-linked freezes it supported this year. The October 22 letter to Tether also sought records on Nxum, a consulting firm whose co-founder Bo Hines formerly directed a White House crypto council. The firm reportedly received over $6 million from Tether.
Trump Ventures
World Liberty Financial, a Trump family crypto venture, and Fight Fight Fight LLC face a separate inquiry. Fight Fight Fight manages the Official Trump (TRUMP) meme coin, which was also covered in a May 2025 inquiry. Blumenthal has pointed to reports suggesting these firms may be helping officials sidestep ethics rules and accepting money from foreign governments.
Enforcement Power
As committee chair, Blumenthal will have the authority to issue subpoenas, which are legal orders to hand over documents. However, it remains unclear whether he will pursue this option or what other enforcement measures the PSI might consider. The January 4 deadline will test how a Democratic-led panel approaches the largest stablecoin issuer and Trump-linked crypto ventures.
Related
