Meanwhile, Hines pushed legislators to double the grace period for crypto exchanges to stop offering noncompliant stablecoins — a change that primarily benefited Tether. He also remained active in Signal chats with his NXUM partners. When some Republican congresspeople stalled the bill, his father informed Dennis he’d gotten a “very worried” call from Ardoino and that Tether wanted them to “obliterate” the holdouts. Hours later, Hines sent the NXUM group chat talking points casting the legislators as “undermining the president and ... bought and paid for by democratic shills like coinbase and a16z”. When Trump brokered a deal with the holdouts weeks later, Dennis bragged to an associate, “Bo got it done.” Three weeks after the bill was signed, Hines left the White House; the following month, he was named CEO of Tether’s new US arm.
NXUM has only grown more entangled with Tether since. The consulting firm, which is pitching investors on a deal in which Tether would buy a 25% stake for $56 million, has started branding itself as the “strategic media infrastructure layer behind Tether”. It also helped launch the Fellowship PAC, which is chaired by Jesse Spiro, Tether US’s head of government affairs [Tether PAC]. The PAC is funded almost entirely by Cantor Fitzgerald, an investor in Tether and its primary US financial partner, which was previously run by now-Commerce Secretary Howard Lutnick. The PAC has paid NXUM more than $6.5 million. Before it launched, Dennis reminded an associate: “Again, no link to Tether, Nxum, Bo”.
A Senate subcommittee is probing Tether’s ties to Cantor Fitzgerald, the firm Commerce Secretary Howard Lutnick supposedly divested from by handing it to his sons. Per Senator Blumenthal, Cantor’s 5% stake in Tether has skyrocketed from $600M to ~$10B since Trump returned to office.
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