Senator Richard Blumenthal, the ranking member of the Senate Permanent Subcommittee on Investigations, asked Cantor Fitzgerald for records on its relationship with Tether in a letter dated October 8. The letter, addressed to Cantor Chairman Brandon Lutnick, lists 13 numbered requests and asks for responses by October 23. It was copied to Senator Ron Johnson, the subcommittee’s chair.

Since President Donald Trump returned to office, the letter says, Cantor’s 5% stake in Tether has gone from $600 million to an estimated $10 billion. The $10 billion figure is an estimate from reporting by the International Consortium of Investigative Journalists, which noted that Tether has not confirmed the stake. Blumenthal also wrote that Cantor collects “tens of millions of dollars” a year from the assets it holds for Tether, and that Howard Lutnick, Cantor’s former chairman and now Commerce Secretary, has made more than $250 million over the same period, including a $192 million distribution from Cantor.

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What the Letter Asks

Blumenthal asks for Cantor’s annual revenue from the Tether partnership since it began, along with the annual amount the Lutnick family has made from it. He also asks whether Cantor requires regular independent audits of Tether and what measures it uses to monitor Tether’s compliance with sanctions and anti-money-laundering rules.

Other requests cover Cantor’s custodial relationship with Tether and its ownership stake. One seeks records on the terms of any loan or other provision from Tether to Howard Lutnick or his family “that enabled him to transfer his ownership stake to his children.” Another asks what Cantor has done to investigate allegations that Tether’s stablecoin was used to launder money, naming Iran’s shadow banking network and Russian sanctions evasion as examples. A final request asks for Cantor’s communications with anyone on the council that advises President Trump on digital assets. Unless otherwise specified, the requests cover January 1, 2023, to the present.

Iran Report Backdrop

The letter follows a September 28 subcommittee minority report on Tether and Iranian shadow banking. Blumenthal’s staff reviewed 846 wallets targeted by U.S. and Israeli authorities and found that 84% transacted exclusively or nearly exclusively in USDT, calling the findings preliminary.

“While Tether claims to operate out of El Salvador, the vast majority of its assets reside in the United States under your custodianship,” Blumenthal wrote to Lutnick in the letter, adding that the partnership “will provide important insights into the inner workings of this industry.”

Tether said in a September 28 release that freezes it supported this year had locked up about $550 million in Iran-linked USDT. Tether CEO Paolo Ardoino said the stablecoin does not offer refuge to sanctioned parties or criminal networks.

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