LONDON — Tether, the company behind the world’s largest stablecoin, has come under renewed public attention following revelations about its growing financial influence and its indirect links to Reform UK through the party’s largest donor.
While relatively unknown outside the cryptocurrency industry, the El Salvador-based firm has become one of the world’s most influential financial players. According to European Central Bank data, Tether was the largest corporate buyer of gold in 2025, purchasing more of the precious metal than any other single company. The firm also holds approximately $135 billion in U.S. government debt, placing it among the world’s largest holders of U.S. Treasuries.
Despite employing only around 200 people, Tether has built a massive financial footprint, with reports suggesting the company could be valued at as much as $500 billion.
Donor’s Stake Draws Attention
The spotlight has turned to Tether because one of its significant shareholders, Christopher Harborne, has emerged as Reform UK’s biggest financial backer.
Harborne donated £9 million to Reform UK in August 2025, followed by an additional £3 million in October and another £3 million in January 2026. The donations, totaling £15 million, were officially declared and represent the largest series of contributions from a single donor in British political history.
Separately, Harborne had previously given Nigel Farage a £5 million personal gift, which was investigated by Parliament before Farage resigned as an MP. Both Harborne and Farage have consistently maintained that the gift and subsequent political donations came with no conditions attached.
Farage’s Cryptocurrency Position
Nigel Farage has long advocated for making the United Kingdom a global centre for cryptocurrency innovation under a regulated framework.
In September 2025, shortly before meeting Bank of England Governor Andrew Bailey, Farage publicly praised Tether’s rapid growth and argued that Britain should embrace digital assets through appropriate regulation.
Bailey later confirmed that Farage discussed cryptocurrency regulation and central bank digital currencies during their meeting. According to the governor, Farage made his views clear, but the conversation did not influence the Bank of England’s policy decisions.
Officials familiar with the meeting say Farage did not raise Tether specifically but discussed stablecoin regulation more broadly.
Stablecoin Rules at the Centre of Debate
At the time of the discussions, the Bank of England was considering proposals to limit individual holdings of future sterling-backed stablecoins to between £10,000 and £20,000, a measure that parts of the cryptocurrency industry opposed.
Reform UK says its position reflects its long-standing support for regulated cryptocurrency innovation rather than the interests of any individual donor.
The party also confirmed that its proposed Cryptoassets and Digital Finance Bill, published ahead of the 2025 general election, remains party policy despite no longer appearing on its website. Reform said its online policy documents are regularly updated to reflect current priorities.
Global Regulation Boosted Crypto Industry
The debate comes against the backdrop of major regulatory changes in the United States.
Following the passage of the Genius Act by the Trump administration in 2025, stablecoins received a clearer legal framework in the U.S. The move sparked strong investor confidence, with crypto firm Circle experiencing a sharp rise in market value after its New York listing.
During the same period, reports indicated that Tether and its advisers were exploring a fundraising round that could value the company at around $500 billion, significantly increasing the value of Harborne’s reported stake.
Questions Over Transparency
Although there is no evidence that Harborne influenced Reform UK’s cryptocurrency policies or that Farage acted on behalf of Tether, the timing of the donations and the party’s focus on stablecoin regulation have prompted debate over transparency and potential conflicts of interest.
The Bank of England later eased some aspects of its proposed stablecoin framework, stating that the revisions followed recommendations from the House of Lords Financial Services Regulation Committee rather than political lobbying.
Former Bank of England Deputy Governor Sir Charlie Bean said strong regulation remains essential for stablecoins to maintain public confidence. He added that substantial political donations from investors with interests in heavily regulated financial sectors can create perceptions of potential conflicts, making transparency particularly important.
As discussions over cryptocurrency regulation continue in the UK, the relationship between political funding, financial regulation and the fast-growing digital asset industry is likely to remain under close public and regulatory scrutiny.
