Tether Plans to Launch a New Dollar-Pegged Stablecoin in the United States Within a Year

The company, which is headquartered in El Salvador and is the world’s largest stablecoin issuer, is supporting the GENIUS Act, which would allow stablecoin issuers to operate in the U.S. if they agree to cooperate with law enforcement, CNBC reported Friday (May 2).

“It depends on the timeline of the final legislation … but we are looking at that by the end of the year, or early next year at the fastest,” Tether CEO Paolo Ardoino said in the report, referring to the new stablecoin.

It was reported April 7 that Tether was considering offering a U.S.-only stablecoin, assuming the government brings forth regulations encouraging new entrants to the market.

Ardoino told the Financial Times (FT) at the time that Tether was involved in several rounds of talks about U.S. rules governing stablecoins and that the White House views them as “an important instrument for the United States.”

Tether, whose tokens represent 70% of the stablecoin market, is currently dominant on offshore exchanges, emerging markets and decentralized finance protocols, where fiat banking access is constrained or unreliable, PYMNTS reported Friday.

While the company has exited certain regulated markets in the past, the changing U.S. cryptocurrency landscape could bring its stablecoin to America.

CoinDesk Data said in a report released Friday that stablecoin market capitalization reached an all-time high in April amid strong performance across cryptocurrency sectors.

The report said the market cap of Tether (USDT) rose 2.26% to $148 billion.

On Thursday (May 1), Tether released its first-quarter attestation report completed by global independent accounting firm BDO and said its USDT stablecoin is “viewed as a stable, efficient and accessible on-ramp to the global economy.”

In a statement accompanying the attestation report, Ardoino said: “With record U.S. Treasury exposure, growing reserves, strong profits and increased adoption of USDT worldwide, we remain focused on delivering trust, transparency and value to hundreds of millions of users. Our mission is clear: to responsibly and compliantly power the digital economy and strengthen the role of the U.S. dollar on the global stage.”