Senator Elizabeth Warren Raises Concerns Over Tether’s Ties Amid Howard Lutnick’s Nomination

In a recent statement on January 19th, Elizabeth Warren, a prominent figure within the U.S. Senate Banking Committee, raised significant concerns regarding Howard Lutnick, the Commerce Secretary nominee put forth by Trump. She highlighted a troubling relationship between Lutnick and Tether, a major player in the cryptocurrency market, suggesting a potential conflict of interest. Warren’s criticism extends to Tether’s alleged connections with sanctioned entities, prompting broader questions about regulatory oversight in the sector.

Although Lutnick will not have direct authority over cryptocurrency regulation, the Commerce Department remains influential, having issued critical reports relating to the regulatory landscape of digital currencies. Warren’s apprehension is intensified by Lutnick’s affiliation with Trump, as regulatory scrutiny on Tether intensifies from U.S. authorities. She remarked, “My apprehensions lie in Lutnick’s prior engagement with a company currently facing investigations for its links to sanctioned organizations, including a Russian arms dealer and entities connected to North Korean nuclear advancements.” Warren concluded that, in her view, the Secretary of Commerce’s priority should be national interests rather than personal or former client affiliations that compromise national security.