Key Takeaways
- • According to a Wall Street Journal report, Tether paid Nxum Capital, an investment and consulting firm co-founded by Bo Hines with his father, a total of $6.3 million while Hines served as executive director of the President's Council of Advisers on Digital Assets.
- • The payments were reportedly routed from Tether affiliate Bitfinex to Notorious, a firm led by Peter Vincer, which forwarded most of the funds to Nxum; the first $2.49 million transfer occurred on May 11, 2025.
- • Nxum was reportedly engaged to create a "strategic brand and public affairs plan" for Tether, a contract the WSJ says was transferred directly to Nxum after Hines left the White House.
- • Nxum's representative told the WSJ that Hines "did not receive any Tether-derived funds" during his White House tenure and had no economic relationship with Tether while serving there.
- • The episode raises conflict-of-interest questions as Hines advanced the GENIUS Act, which was signed into law in July 2025, and as he later became CEO of Tether-backed stablecoin USAT.
Summary
The Wall Street Journal reports that Tether, the world's largest stablecoin issuer, paid approximately $6.3 million to Nxum Capital, an investment and consulting firm that Bo Hines started with his father, while Hines served as executive director of President Donald Trump's President's Council of Advisers on Digital Assets. According to the WSJ, Nxum was engaged to help create a "strategic brand and public affairs plan" for Tether during the period in which Hines was working to advance stablecoin legislation.
According to the WSJ's account, the funds moved from Bitfinex, a Tether sister company, to Notorious, a firm led by Peter Vincer. Tether's first payment of $2.49 million reached Vincer on May 11, 2025; Vincer kept $498,000 and forwarded the remainder to a wallet from which it was split among three destinations. Vincer told the WSJ he acted as the intermediary and that, after Hines left the White House, the contract was transferred directly to Nxum. Protos noted that the on-chain details it reviewed match the WSJ's description, though it said it could not be certain they are the same transactions.
A Nxum representative told the WSJ that Hines "did not receive any Tether-derived funds during that period, and had no economic relationship of any kind with Tether while serving in the White House." The WSJ also reported that Hines continued exchanging Signal messages with company partners while in government, and shared details about the GENIUS Act with Nxum leaders working with Tether.
The report also links Nxum to the Fellowship PAC, a super PAC chaired by Jesse Spiro, Tether's head of government affairs. The PAC has raised $11 million, including $10 million from Cantor Fitzgerald, Tether's custodian, which was previously led by Commerce Secretary Howard Lutnick, with the balance from Anchor Labs, Inc., an affiliate of Anchorage Digital, the bank behind USAT. The PAC has paid out $11 million to Nxum, though a $300,000 refund was also reported.
The GENIUS Act was signed into law in July 2025, with Tether CEO Paolo Ardoino attending the White House signing. Hines announced his departure from the White House the following month and was subsequently named to lead USAT. Protos reached out to Tether for comment and did not immediately receive a response; its attempt to reach Nxum was unsuccessful because the firm's previous contact email is undeliverable.
According to the WSJ's account, the funds moved from Bitfinex, a Tether sister company, to Notorious, a firm led by Peter Vincer. Tether's first payment of $2.49 million reached Vincer on May 11, 2025; Vincer kept $498,000 and forwarded the remainder to a wallet from which it was split among three destinations. Vincer told the WSJ he acted as the intermediary and that, after Hines left the White House, the contract was transferred directly to Nxum. Protos noted that the on-chain details it reviewed match the WSJ's description, though it said it could not be certain they are the same transactions.
A Nxum representative told the WSJ that Hines "did not receive any Tether-derived funds during that period, and had no economic relationship of any kind with Tether while serving in the White House." The WSJ also reported that Hines continued exchanging Signal messages with company partners while in government, and shared details about the GENIUS Act with Nxum leaders working with Tether.
The report also links Nxum to the Fellowship PAC, a super PAC chaired by Jesse Spiro, Tether's head of government affairs. The PAC has raised $11 million, including $10 million from Cantor Fitzgerald, Tether's custodian, which was previously led by Commerce Secretary Howard Lutnick, with the balance from Anchor Labs, Inc., an affiliate of Anchorage Digital, the bank behind USAT. The PAC has paid out $11 million to Nxum, though a $300,000 refund was also reported.
The GENIUS Act was signed into law in July 2025, with Tether CEO Paolo Ardoino attending the White House signing. Hines announced his departure from the White House the following month and was subsequently named to lead USAT. Protos reached out to Tether for comment and did not immediately receive a response; its attempt to reach Nxum was unsuccessful because the firm's previous contact email is undeliverable.
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