Tether to Launch New U.S. Dollar Stablecoin Amid Rising Market Demand
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Tether, the world’s largest stablecoin issuer, is planning to launch a new dollar-backed stablecoin just for the United States.
This could happen by the end of this year or early next year, depending on how fast U.S. lawmakers finalize new rules for stablecoins. Tether, based in El Salvador, currently dominates the global stablecoin market with its USDT token, which makes up about 70% of all stablecoins in circulation.
The new move signals the company’s desire to enter the U.S. market legally by supporting upcoming legislation that requires cooperation with law enforcement.
U.S. Stablecoin Plans Linked to New Laws
Tether is backing a proposed law called the GENIUS Act, which would allow stablecoin companies to operate in the U.S. if they agree to follow rules and work with law enforcement agencies. CEO Paolo Ardoino confirmed that Tether is waiting for final legislation before launching its new U.S.-focused coin. He noted that the company is in ongoing discussions with American officials. According to Ardoino, the White House sees stablecoins as a useful tool for the U.S. financial system, especially as the country explores digital finance.
In April, reports suggested Tether was exploring a U.S.-only coin, encouraged by signals that new regulations could create a safer and more open market. Tether previously left some regulated markets but is now considering a return to the U.S. as a result of the changing crypto environment.
Strong Market Growth Supports Expansion
As it stands, the growing popularity of stablecoins is also helping Tether’s expansion plans. According to CoinDesk, stablecoin market capitalization reached a record high in April, with Tether’s USDT alone rising to $148 billion. This growth shows a strong demand for digital dollars in both developing and developed economies.
To this end, Tether’s latest financial report, reviewed by accounting firm BDO, confirmed the company’s strength. It highlighted large U.S. Treasury holdings and steady profits. Ardoino stated that Tether remains committed to transparency and aims to support the digital economy while strengthening the U.S. dollar’s global role.
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