Despite progress on Capitol Hill, Tether says the U.S. remains a low priority amid unclear stablecoin rules.

(USDT) Says the U.S. Remains a Low Priority Amid Unclear Stablecoin Rules

Amid progress on Capitol Hill toward setting U.S. stablecoin rules, Tether is placing greater priority on operating in other regions.

Paolo Ardoino, CEO of Tether, says the firm’s main focus will remain outside the United States, even as lawmakers in Washington D.C. move closer to setting new rules for stablecoins.

Appearing on Bloomberg on Thursday, Ardoino said it was important for the company to see “how the Genius Act is distinguishing between foreign issuers and domestic issuers,” adding that Tether’s interest would remain “outside of the U.S.”

“We are looking at the Genius Act in a way that will allow us to be compliant. We can be compliant while still having a strong focus on foreign markets.”

On Monday, the Genius Act, a Senate bill backed by the crypto industry, advanced in Congress. The House Financial Services Committee has approved its own version of a stablecoin bill, though it has yet to reach a full vote.

Both chambers’ bills would require issuers to fully back tokens with cash or safe assets like short-term U.S. Treasuries. The rules would also place stablecoin firms under anti-money-laundering regulations and the Bank Secrecy Act.

Ardoino noted that while stablecoins are viewed as an important addition to the U.S. payments ecosystem, the country already has many options such as Zelle, PayPal, debit cards, credit cards, and cash.

Tether has faced past scrutiny in the U.S. and settled with regulators in 2021. The firm’s reserves are now managed by Cantor Fitzgerald, a financial services firm formerly led by Howard Lutnick, who recently transferred ownership to his children and outside investors as he joined the White House.