Tether, the largest stablecoin issuer globally, is preparing to debut a U.S.-based dollar-pegged stablecoin as early as late 2024, according to CEO Paolo Ardoino.
Speaking to CNBC at the Token2049 conference in Dubai, Ardoino confirmed that the planned domestic stablecoin would be distinct from Tether’s existing international offerings like USDT. The move comes as Tether intensifies its lobbying efforts in Washington, D.C., amid shifting political tides and growing pro-crypto sentiment among Republican lawmakers aligned with former President Donald Trump.
Strategic Shift Toward U.S. Expansion
Tether’s proposed U.S. stablecoin would mark a major step into the American market, with the potential launch date set for late 2024 or early 2025 contingent on the progress of pending regulatory legislation. Unlike Tether’s globally used USDT token, the U.S.-focused stablecoin is expected to comply with forthcoming domestic rules and oversight mechanisms.
Ardoino’s remarks come as the company strengthens its presence on Capitol Hill. He has reportedly held private meetings with legislators and attended a Capitol Hill lunch with Senator Bill Hagerty. These efforts appear closely tied to the GOP’s proposed GENIUS Act, which would allow foreign stablecoin issuers to operate in the U.S. if they adhere to law enforcement cooperation standards.
Regulatory History and Current Standing
Tether has a controversial history with regulators, notably settling with the New York Attorney General’s office in 2021 for $18.5 million over allegations of misleading disclosures about its reserves. In recent years, however, the company has sought to improve transparency. It now claims to hold nearly $120 billion in U.S. Treasury assets, with oversight provided by Cantor Fitzgerald.
According to its latest audit, Tether maintains $5.6 billion in excess reserves, a slight drop from $7 billion at the end of 2024. The audit highlights the company’s effort to enhance trust among institutional players and regulators.
Rising Competition in the Stablecoin Arena
Tether’s planned U.S. launch arrives at a time of growing competition in the dollar-backed stablecoin space. Reports suggest that Eric and Donald Trump Jr. are preparing to introduce their own stablecoin through a venture closely tied to the Trump brand. This development may trigger a new era of rivalry among politically and commercially aligned stablecoin issuers in the U.S.
The timing of Tether’s expansion reflects its ambitions to remain a dominant force in the rapidly evolving digital currency ecosystem particularly as legislative clarity around stablecoins continues to take shape in the United States.
With U.S. policymakers warming to crypto innovation, Tether’s push to launch a compliant domestic stablecoin could reshape the competitive landscape and further legitimize stablecoins as a key part of the future financial system.
