Senate Democrat Probes Cantor Fitzgerald Over Tether Ties and Profits

Cantor Fitzgerald Tether — US investment bank Cantor Fitzgerald is facing scrutiny from a Senate Democrat over its partnership with stablecoin issuer Tether, with Senator Richard Blumenthal demanding records on the arrangement and its profits.

In a letter dated October 5, 2026, Blumenthal, the ranking Democrat on the Senate’s Permanent Subcommittee on Investigations, asked Cantor chairman Brandon Lutnick to explain how the firm monitors Tether’s compliance with banking and sanctions laws. He also requested all communications involving former Cantor CEO Howard Lutnick, who is now the US Commerce Secretary, regarding Tether.

Blumenthal alleged that Cantor’s 5% stake in Tether has increased in estimated value from $600 million to $10 billion since former President Donald Trump returned to office, and that Howard Lutnick received more than $250 million in that period. The inquiry follows a recent Senate report alleging Tether’s USDT has become a key tool for Iran’s shadow banking network.

Tether responded to the allegations with a statement saying it has been working with law enforcement for years and has frozen nearly $550 million in Iran-linked USDT this year. Senator Blumenthal has asked Cantor Fitzgerald to respond to his questions by October 23.