PANews reported on August 13 that Tether co-founder Brock Pierce is currently involved in a legal dispute with his business partner, according to u.today, citing The New York Times. Pierce acquired the W Hotel on Vieques, a Caribbean island off the east coast of Puerto Rico. The resort was once the main attraction on the island, but was closed due to a Category 5 hurricane that wreaked havoc on the Caribbean. However, the hotel's revival has encountered major obstacles such as legal challenges and unpaid bills.

It is reported that logistics tycoon Lipsey had lent Pierce $4 million to help him buy the remaining part of the hotel, but after accusing Pierce of violating the terms of the agreement, Lipsey eventually seized control of the W Hotel. Pierce was accused of embezzling funds and throwing an extremely lavish party. Later, Lipsey also accused Pierce of trying to kidnap him at another hotel. Pierce denied the allegations. The two sides are currently discussing a possible settlement.

The report said Pierce was in financial trouble after being abandoned by his business partners, and local Puerto Ricans were unhappy with Pierce's attempt to turn the Caribbean island into his personal playground. The media commented that "the famous entrepreneur's efforts to turn Puerto Rico into a cryptocurrency mecca have failed."