A potential crackdown on Tether Holdings Ltd., the issuer of USDT, could have a significant impact on the cryptocurrency industry. Tether, the third-largest cryptocurrency, plays a crucial role as a stand-in for the US dollar in crypto markets. If Tether were to fail, it would be disastrous for the crypto economy. Tether CEO Paolo Ardoino denied the allegations, stating that there is no indication that Tether is under investigation.