TLDR
- Tether is planning to create a new U.S.-focused stablecoin and payment network, separate from its existing USDT
- CEO Paolo Ardoino suggests they may develop a merchant services platform similar to Square but including stablecoins
- Two key stablecoin bills are advancing through Congress with President Trump urging passage by August
- Tether has $20 billion in undistributed profits and is hiring a new CFO to pursue a full audit from a Big Four firm
- The new U.S. stablecoin would target institutions and consumers, while USDT continues serving international markets
Tether, the company behind the world’s largest stablecoin USDT, is preparing to enter the U.S. market with a new stablecoin and payment network. CEO Paolo Ardoino revealed these plans in recent interviews, highlighting the company’s strategic vision as regulatory clarity emerges in the United States.
The stablecoin issuer is likely to establish a new U.S.-based company with a token specifically designed for the American market. This move comes as Congress advances legislation that could provide a clear framework for stablecoin operations in the country.
“The new legislation gives us the opportunity to explore the creation of a U.S.-based, institutional-grade stablecoin,” Ardoino told The Block. He emphasized that this would be separate from Tether’s existing products, which primarily serve international markets and developing economies.
Different Market Strategies
Ardoino sees a key difference in how stablecoins might be used in different regions. “In the U.S., people would use a stablecoin as their checking account, while outside the U.S., people use USDT as their savings,” he explained.
This insight shapes Tether’s approach to the U.S. market. While other issuers may focus on institutional customers who use stablecoins for crypto trading and decentralized finance, Tether identifies a larger opportunity in serving U.S. consumers directly.
The company faces practical challenges in implementing this vision. For stablecoins to work in everyday payments, consumers need easy ways to hold stablecoins in digital wallets. Merchants must also be equipped to accept these digital currencies at the point of sale.
When asked if Tether would consider building a merchant services platform similar to Square but including stablecoins, Ardoino hinted, “I cannot spoil all our strategy, but you are on the right track.”
Regulatory Progress
The U.S. is moving quickly toward establishing a regulatory framework for stablecoins. Two important bills are currently working their way through Congress: the Stablecoin Transparency and Accountability for a Better Ledger Economy (STABLE) Act in the House and the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act in the Senate.
President Donald Trump has urged lawmakers to pass legislation by August. For the bills to become law, the House and Senate must agree on a single version to send to the President’s desk.
“We pioneered the stablecoin industry in 2014, and it’s remarkable to see our work now recognized by lawmakers in the world’s most powerful economy,” Ardoino stated. “This marks a major step forward in the path to thoughtful regulation.”
Financial Position and Audit Plans
Tether appears well-positioned financially to execute its U.S. strategy. While Circle, its main competitor, is preparing for an IPO with a target valuation of $5 billion, Ardoino claimed, “We have $20 billion in profit that we did not distribute to the shareholders. So I’m pretty sure that we can move at the speed of light.”
The company has faced ongoing questions about its reserves. Unlike Circle, which has had its financials audited by Deloitte since 2022, Tether has relied on quarterly attestations from BDO Italia.
Last month, Tether hired Simon McWilliams as its new chief financial officer to lead efforts toward securing a full audit. Ardoino has called obtaining an audit from a Big Four accounting firm—Deloitte, EY, PwC, or KPMG—a “top priority” and indicated that discussions are underway.
Tether plans to wait until U.S. stablecoin legislation is enacted before launching its new offerings. This timing aligns with expected entry from other major financial players, setting the stage for an intensely competitive U.S. stablecoin market.
Despite its U.S. expansion plans, the company itself has no intention of leaving its current base in El Salvador.
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