Ripple's CEO has pointed out signs of a US government crackdown on Tether.

The US government is closely monitoring Tether's activities, and potential regulatory actions could have significant implications for the industry, according to Ripple CEO Brad Garlinghouse.

"The US government is going after Tether. To me, it's clear. I see USDT as a very important part of the ecosystem, and I don't know what impact it will have on the rest of it," noted the top executive.

In response to Garlinghouse's statement, Tether emphasized its efforts to comply with the law.

"Tether is directly collaborating with law enforcement agencies, while other 'stablecoins,' although claiming their 'high compliance,' seek a court resolution, allowing hackers, fraudsters, and criminals to move funds for a long time," wrote the top manager.

The company's CEO, Paolo Ardoino, called Ripple's chief's arguments "hypocritical," pointing out that his company is under investigation by the SEC and is trying to launch a competing stablecoin.

In May, Deutsche Bank expressed concerns about the dominant position of the leading stablecoin. According to them, the adequacy of Tether's collateral raises doubts.