Tether, the world's largest stablecoin issuer, has recently embarked on a strategic plan to expand its business in the United States. This move comes as the new stablecoin regulatory law, the 'GENIUS Act' signed by President Trump, has been formally enacted, leading to a relaxed regulatory environment. Tether is actively exploring the development of a stablecoin targeting US institutional investors and its potential use in payment and inter-bank settlement infrastructure.
Tether CEO Paolo Ardoino stated in an interview with Bloomberg on July 23rd, "We are quickly developing our business strategy in the United States, through which we will introduce a stablecoin tailored to the institutional market." The GENIUS Act is legislation that provides guidelines for "Innovation and Development of US Stablecoins", established with the purpose of enhancing transparency and regulations in the market.
The main business direction involves infrastructure development in institutional payments, trading systems, and inter-bank transfer solutions. This aligns with Tether's recent expansion into emerging markets in Latin America, Asia, and Africa, and its relocation of headquarters to El Salvador, which has created a crypto-friendly environment. Additionally, Ardoino emphasized that unlike its competitor Circle (USDC issuer), Tether has no plans for listing and will instead focus on strengthening partnerships.
Entering the US market is an opportunity, but simultaneously a challenging task for Tether. The investigation initiated in 2018 by the US Department of Justice and Manhattan District Attorney regarding money laundering and sanctions evasion remains valid. Moreover, in 2019, Bitfinex was fined $18.5 million and decided to withdraw from New York after an investigation where they were accused of hiding $850 million in losses and covering them up with Tether's USDT.
Despite this, Tether has recently demonstrated active cooperation with legal norms through collaboration with federal agencies. Last month, they contributed to seizing $225 million in stablecoins from a phishing-based "pig butchering scam" alongside the US Department of Homeland Security. Earlier this year, the T3 Integrated Investigation Unit, composed of Tether, TRON, and TRM Labs, recovered $100 million in cryptocurrency worldwide.
Ardoino emphasized, "Tether's real strength lies in blockchain transparency and the ability to immediately respond when user abuse is detected," adding, "USDT is traceable and accountable, unlike traditional financial systems."
Tether's US market entry is evaluated as a turning point targeting newly opened institutional gaps, even as cryptocurrency regulations are being strengthened globally. Rather than a simple market expansion, it appears to be a strategic choice to establish roots within the institutional framework, with compliance and transparency expected to be crucial variables moving forward.
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