Morgan Stanley analysts previously stated in a report that Tether's dominant position is too strong and faces risks from the constantly changing regulatory environment in Europe and the United States. Tether CEO Paolo Ardoino refuted Morgan Stanley's claims, calling the financial services giant "hypocritical."

Ardoino said, "Tether's market dominance may be 'negative' for competitors, including banking competitors who hope to achieve similar success. But for the market that needs us the most, this is never negative. Morgan Stanley's claim that we are becoming increasingly centralized seems hypocritical."