preferred on
Points of Focus
- A firm co-owned by former White House crypto adviser Bo Hines received $6.3 million through a Tether-backed arrangement, according to The Wall Street Journal.
- Payments began while Hines worked on stablecoin legislation, though Nxum denies he knew about the deal or received any proceeds while in office.
- Hines joined Tether shortly after leaving the White House and was subsequently named to lead its US stablecoin business.
A company partly owned by former White House crypto adviser Bo Hines received approximately $6.3 million through a Tether-backed deal, with payments beginning while he was helping shape US stablecoin legislation.
The Wall Street Journal reported that the arrangement involved Nxum, a firm in which Hines retained a one-third stake during his government service. The legislation he worked on would determine how foreign stablecoin issuers, including Tether, could operate in the US.
Nxum payments began while Hines worked at the White House
Nxum received its first payment in May 2025, months before Hines left his post as executive director of the White House Crypto Council.
The WSJ reviewed payment records, internal documents, and Signal messages in which Hines discussed stablecoin legislation with business partners. The $6.3-million total includes payments made after he left government.
Nxum said Hines had recused himself from company business, was unaware of the Tether deal, and received no related funds while in office. The firm described his messages as discussions of public information.
Hines pushed for a longer GENIUS Act transition period
While working on the legislation, Hines advocated extending a compliance window from 18 months to three years, according to the WSJ. The longer period would give Tether more time to adjust to US requirements.
The Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act was signed into law on July 18, 2025.
Under the Treasury’s proposed regulations, the restriction on sales of noncompliant stablecoins takes effect on July 18, 2028, subject to exceptions.
Other provisions are scheduled to take effect earlier, with federal agencies still developing implementation rules. Foreign issuers can seek access under a separate framework involving comparable overseas regulation and registration with the Office of the Comptroller of the Currency.
Tether hired Hines weeks after his White House departure
Tether appointed Hines strategic adviser on Aug. 19, 2025, tasking him with its US strategy and policymaker engagement.
Less than a month later, Tether named him future CEO of USAT. The stablecoin launched on Jan. 27, 2026, with Anchorage Digital Bank as issuer and Cantor Fitzgerald as reserve custodian.
Tether Unveils USA₮, its Planned U.S.-Regulated Dollar-Backed Stablecoin, and Will Appoint Bo Hines as CEO of Tether USA₮
Follow @USAT_io 🇺🇸https://t.co/w0JxBvttwv— Tether (@tether) September 12, 2025
USAT entered the US market alongside Tether’s global USDt (USDT) token, whose reserve composition has raised questions about GENIUS Act compliance.
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