Consumer’s Protection, a prominent California-based nonprofit, has initiated a robust multimillion-dollar advertising initiative aimed at highlighting what it perceives as problematic business practices associated with the Tether stablecoin. This campaign, spanning television commercials, billboards, and digital outreach, seeks to raise consumer awareness about Tether's operational transparency and financial reserves.

At the heart of the campaign is a provocative 30-second television spot posing the question, “Is Tether the next FTX?” and branding Tether (USDT) as the “go-to cryptocurrency for the world’s worst.” The comparison with FTX draws attention to concerns over the lack of a comprehensive audit verifying Tether's reserves, echoing broader industry debates about stablecoin reliability.

In a strategic move to amplify its message, Consumers’ Protection plans to feature digital billboards prominently in Times Square, New York City, along with mobile billboards in key urban centers such as New York and Washington, DC. Their campaign also includes a dedicated website showcasing vivid graphics and linking to critical mainstream media and cryptocurrency journalism coverage of Tether. Notably, the organization supports its assertions primarily with readily verifiable secondary sources.

Will Hild, Executive Director of Consumers’ Protection, emphasized the significance of consumer vigilance in adopting stablecoins, stating, “Consumers should be wary of any so-called stablecoin that refuses to undergo rigorous auditing to substantiate its claimed asset holdings.” This stance underscores the nonprofit’s commitment to transparency and consumer protection in the cryptocurrency sector.

While stablecoins are gaining popularity in corporate transactions, a recent Bloomberg report suggested that less than 10% of stablecoin transactions involve everyday consumers. Nevertheless, Tether has ventured into consumer-focused initiatives, including the launch of a mobile app targeting Telegram users and PayPal’s introduction of the PayPal USD (PYUSD) in August, geared towards broader consumer accessibility.

However, Tether faces mounting regulatory challenges, with several cryptocurrency exchanges already removing or contemplating the removal of USDT ahead of impending regulatory changes in Europe’s Markets in Crypto-Assets legislation.

Established in 1929, Consumers’ Protection operates as a 501(c)(3) nonprofit educational organization, predominantly supported by religious and conservative groups. Beyond its campaign against Tether, the nonprofit engages in advocacy efforts such as combatting corporate "wokeness" and promoting consumer rights in various sectors.