Senator Blumenthal probes Tether payments to ex-White House adviser's firm

Senator Richard Blumenthal, the ranking Democrat on the Senate investigations subcommittee, added a probe of former White House crypto adviser Bo Hines to his list of crypto interests. Blumenthal requested information from Tether CEO Paolo Ardoino regarding a reported deal between Tether and Nxum. A Wall Street Journal report stated that Tether inked a $6.3 million deal with Nxum, a marketing company co-founded by Bo Hines. Blumenthal demanded records and information related to contracts, payments, communications, and lobbying between Tether and Nxum in a letter sent on Thursday.

Blumenthal described the probe as part of an investigation into the Trump administration's self-enrichment and self-dealings with cryptocurrency firms. He alleged that Bo Hines failed to divest his one-third stake in Nxum while working closely with the firm to coordinate lobbying efforts. Blumenthal claimed Tether was directly coordinating Nxum's lobbying efforts on the GENIUS Act with CEO Paolo Ardoino demanding opponents be obliterated. He stated that Tether's business relationship with Nxum and Bo Hines raises alarming ethical and legal concerns regarding payments to a current White House official.

Bo Hines worked as executive director of the President's Council of Advisers on Digital Assets from January to August 2025 before joining Tether. He later became CEO of Tether US after leaving the White House. A Tether spokesperson stated that an external counsel found no evidence of wrongdoing after a previous in-depth internal investigation into the allegations. A Nxum representative said Bo Hines wasn't involved in the deal and received no Tether-derived funds while in government.

Blumenthal asked Tether to hand over records on its dealings with Bo Hines and his consulting firm, Nxum, by Nov. 3. The Wall Street Journal reported that Nxum earned $6.3 million from a Tether deal struck while Bo Hines helped craft the GENIUS Act. Blumenthal's letter builds on an Oct. 14 Wall Street Journal investigation regarding Tether payments to Bo Hines' firm.