Tether is advancing plans to re-enter the U.S. institutional market after President Donald Trump signed the landmark GENIUS Act into law last week, CEO Paolo Ardoino confirmed in a Bloomberg interview. The legislation establishes federal guardrails for stablecoins, requiring dollar-backed reserves and annual audits for major issuers while permitting banks, card networks, and tech firms to launch tokens.
Ardoino stated the company is "well in progress of establishing our U.S. domestic strategy", targeting institutional payments, interbank settlements, and trading. This marks a reversal from Tether's offshore operations since 2021, when it paid $60 million to settle New York regulatory allegations over reserve transparency. Formal details of the U.S.-focused stablecoin will be announced within months.
Despite historical scrutiny, USDT dominates with $162 billion circulation—up 18% year-to-date—compared to Circle's USDC at $64.7 billion. Tether is addressing transparency concerns through discussions with auditing firms and recently hired CFO Simon McWilliams to pursue a Big Four audit. Reserves include $98.5 billion in Treasury bills and $23 billion in cash equivalents, with $5.6 billion in excess capital.
The move intensifies competition with traditional banks like JPMorgan and Bank of America exploring stablecoins under the new rules. Ardoino acknowledged potential short-term U.S. advantages for banks but emphasized Tether's technological edge and emerging-market expertise. He definitively ruled out an IPO despite Circle's 500% stock surge post-listing.