Tether has announced its plans to enter the US market by aligning USDT with the GENIUS Act and launching a new compliant US-specific stablecoin by late 2025.
Following this announcement, the new stablecoin will coexist with USDT, aiming to optimise cross-border payments and compete with other issuers, while also adhering to reserve-backed audit requirements.
In addition, Tether’s compliance strategy will emphasise regulatory adherence, customer protection, and market stability amid growing US scrutiny of stablecoins. The move is set to boost US stablecoin adoption by offering a legal, transparent option, as well as fostering development through increased competition.
More information on Tether’s plans to launch a US stablecoin
According to the official press release, Tether's strategy will involve not only complying with the GENIUS Act, but also launching a new, fully compliant US-specific stablecoin by late 2025. This new stablecoin will also coexist with USDT, which is set to continue to serve its vast global user base, particularly in emerging markets. At the same time, it will be subject to the GENIUS Act, which mandates that stablecoins need to be backed by reserves and subject to regular audits. This regulatory framework was designed to protect consumers and ensure the overall stability of the financial system.
Tether's decision to launch a new US-specific stablecoin comes amid growing regulatory scrutiny in the region of the US. The new product is expected to facilitate easier cross-border payments, giving US companies and institutions a competitive advantage in international trade. This process is set to expand their reach and improve their competitiveness in the global market, while the launch of the new stablecoin is also expected to boost the overall adoption of cryptocurrencies. This process will provide a compliant and stable option for users in the US market as well.
The implementation of the GENIUS Act is expected to set new standards for US-based stablecoin projects. Tether's initiative highlights transparency and compliance within the sector, as the company aims to directly compete with other stablecoin issuers, as the process could expand consumer choices and foster innovation among companies and institutions.
