Tether has minted 160 billion USDT tokens, marking a significant milestone in the stablecoin's circulation. CEO Paolo Ardoino celebrated the achievement on July 16, 2025, calling USDT the "digital dollar for billions" in emerging markets. The firm minted an additional 2 billion USDT on the same day, with $1 billion immediately sent to Binance to address high liquidity demand, likely driven by institutional trading activity.
This expansion comes as Bitcoin reclaimed $119,000, suggesting potential correlation with market rallies. Tether's circulation has surged from $118.4 billion in August 2024, cementing its dominance as the world's largest stablecoin.
However, major risks threaten this growth. The GENIUS Act, up for a U.S. vote, could ban USDT in America if passed, requiring third-party audits of reserves—a process Tether has never undergone. While Tether holds $100 billion in Treasury bonds and $8 billion in gold, concerns persist about whether reserves fully cover the $160 billion liability. Overleveraged corporate Bitcoin holdings compound systemic risks, as forced liquidations could cascade through markets. Though Tether survived similar EU MiCA regulations, U.S. market access remains critical.