Regulators did take action against Tether around the time of the prediction (e.g., the CFTC’s October 2021 order fining Tether $41 million for misleading reserve claims), which is what Jason was reacting to. 【turn0search1】 However, the subsequent trajectory of Tether contradicts the idea that this was the "beginning of the end" of Tether as a viable, dominant stablecoin.

Evidence from 2022–2025 shows:

• Market cap and dominance surged instead of deteriorating. By mid‑2024, USDT’s market cap had risen to about $118 billion and its share of the stablecoin market to ~75%, up from ~55% two years earlier. 【turn0search8】
• By July 2025, Tether was still the largest stablecoin with a market cap around $159 billion, far ahead of USDC and others. 【turn0search2】
• As of October–November 2025, Tether remains the number‑one stablecoin, with market cap estimates in the ~$176–$183 billion range and roughly 59–60% of the entire stablecoin market. 【turn0search0】【turn0search9】
• In the broader crypto market, Tether is the third‑largest cryptocurrency overall by market capitalization, underscoring its continuing central role and liquidity. 【turn0search6】

Tether has continued to face criticism over reserves and transparency, including a 2025 S&P Global downgrade of its reserve quality to the lowest risk tier, but these have not caused a collapse in usage or dominance; USDT is still heavily traded and widely integrated across exchanges and blockchains. 【turn0news12】【turn0news13】

Because Tether’s position and operation have strengthened rather than "significantly deteriorated" since 2021, the prediction that those regulatory moves marked the beginning of the end for Tether as a dominant stablecoin is wrong.