[jcaldas]

In my opinion, regulators have a too-big-to-fail problem here. Tether is known to be used for artificially inflating the crypto market in collusion with certain exchanges. There is a lot of documentation on this, the following two articles are a good start:

https://theodoregreenbaum.medium.com/the-crypto-time-bomb-is...

https://www.bloomberg.com/news/articles/2021-07-26/tether-ex...

If news suddenly come out about Tether being formally accused by the Department of Justice, the market may react in panic and things might get ugly. As an anecdote, I have a friend who told me she put a significant amount of her life savings into "etherium and carnado" (sic). There are millions of people like this who will get absolutely crushed.

I don't see a non-painful solution here. The regulators were too slow and have allowed a monster to be created.

[6AA4FD]

What a depressing situation... having to protect a bunch of people on a get rich quick mission from themselves. Of course you can adapt that argument to people buying cheap food, clothes, housing, etc. A lot of people do these things because they are in situations where they have very real fears about their future safety and solvency, so it is not an argument against consumer protection by the state but an expression of frustration I guess.