Tether, the world’s largest stablecoin issuer, is planning to launch a U.S.-based dollar-pegged stablecoin as soon as this year, CEO Paolo Ardoino told CNBC.
The move coincides with his increased lobbying efforts in Washington, D.C., aimed at influencing crypto regulation as pro-crypto sentiment grows under former President Donald Trump’s allies, according to CNBC reporting.
Speaking at the Token2049 conference in Dubai, Ardoino emphasized that the upcoming domestic stablecoin would be separate from Tether’s (USDT) existing international products.
He said the launch could happen by year-end or early 2025, depending on the outcome of pending legislation.
Tether’s dance in Washington
Ardoino has been making rounds in Washington, including a Capitol Hill lunch with Senator Bill Hagerty and private meetings with lawmakers.
His efforts appear to align with the GOP’s GENIUS Act, which could ease U.S. operations for foreign stablecoin issuers that cooperate with law enforcement.
Tether, headquartered in El Salvador, has a checkered history with regulators. In 2021, it paid $18.5 million to settle claims it misled the New York attorney general about its reserves.
Today, the company claims it holds nearly $120 billion in U.S. Treasuries, overseen by Cantor Fitzgerald.
Its Q1 audit showed it had $5.6 billion in excess reserves, down from $7 billion at year-end.
The firm’s U.S. expansion coincides with news that Eric and Donald Trump Jr. plan to launch their own dollar-backed stablecoin through a venture linked to their father’s political brand, potentially setting the stage for a domestic stablecoin arms race.
