Tether is just another form, digital created form without a government backing but private and could appear and disappear attached to equal dollar per tether and alternative place to park your money perhaps to slowly get people used to digital. It might be alright now to hold in the US because you can still redeem in dollars but apparently have been delisted in Europe apparently due to its business lack of transparency.
Yes tax funded and as in Europe as well. I can understand transparency but as far as government, taxation and what they do with our money look who’s calling for transparency. This scrutiny may continue with tether in other countries too including ours. . I personally don’t like the idea of make believe money buying up treasuries.