US Senators Voice Concerns Over USDT’s Role in Sanctions Evasion

On April 28, US Senators Elizabeth Warren and Roger Marshall sent a letter to the Treasury, the Department of Defense, and the White House, expressing concerns about the use of cryptocurrencies to evade sanctions. This was reported by the Wall Street Journal.

The authors posed several specific questions regarding USDT transactions conducted by Russia, Iran, and North Korea.

“Tether’s USDT has become the cryptocurrency of choice for those attempting to evade sanctions and other categories of violators,” the official letter states.

The senators also inquired whether the Department of Defense and President Joe Biden’s administration support the Treasury’s request for new powers.

Previously, the US Treasury requested additional means to monitor compliance with secondary sanctions. Officials also called for legislation to expand the department’s role in the “digital asset ecosystem” and rules to address jurisdictional issues for regulating foreign industry companies.

Back in response to news about Venezuela’s plans to circumvent US sanctions using USDT, Tether announced its intention to block payments used for this purpose.