Tether poaches PayPal exec to engage with lawmakers

Tether has appointed former PayPal executive Jesse Spiro as head of government affairs to lead policy and engage with lawmakers, regulators and key stakeholders.

Stablecoin issuer Tether (USDT) is expanding its government relations efforts by appointing Jesse Spiro, a former PayPal executive, as its new head of government affairs. Spiro will oversee Tether’s policy initiatives and engagement with lawmakers, regulators, and key industry stakeholders, the company said in a Sept. 13 press release.

Prior to Tether, Spiro led regulatory relations for PayPal’s blockchain and digital currency business. Before that, he served as chief government affairs officer at Chainalysis, a blockchain forensics firm that entered into a partnership with Tether in May to trace USDT transactions on the TRON blockchain.

“The ever-evolving legal and regulatory environment will continue to require strong collaboration between the public and private sectors.” Jesse Spiro

Commenting on Spiro’s appointment, Tether CEO Paolo Ardoino said Spiro’s expertise in government relations and blockchain technology will be “invaluable as we continue to navigate the complex and rapidly changing regulatory landscape.”

Tether aims to strengthen its commitment to compliance

The appointment comes amid growing scrutiny from U.S. lawmakers over Tether’s stablecoin and concerns over the potential for countries like Russia, Iran and North Korea to misuse it to bypass Western sanctions.

Tether’s recent moves appear to address these concerns, following allegations that Russian companies have been using USDT to evade sanctions and purchase parts for drones and other equipment.

This development also follows the recent establishment of the T3 Financial Crime Unit, a joint initiative by TRON, Tether, and TRM Labs to combat illegal activities related to USDT on the TRON blockchain. The unit aims to use data, technology, and collaboration with law enforcement to curb illegal activities.