Tether, the largest stablecoin issuer, has announced the launch of a new dollar stablecoin, USA₮, aimed specifically at the U.S. market. The stablecoin will fully comply with the GENIUS Act.
Launch of Stablecoin USA₮
On September 12, 2025, Tether announced the launch of USA₮, which will fully comply with the GENIUS Act and is expected to go live by the end of the year. Anchorage Digital Bank will be the issuer, with Cantor Fitzgerald managing reserve custody. Tether aims for increased transparency, including daily reserve reports and OFAC screening.
Strengthening Compliance
Merris Badcock, Vice President of The Digital Chamber, stated: CITE_W_A “This is a huge moment for Tether who has overcome years of misinformation campaigns.” Following strict scrutiny from regulators, Tether agreed to release quarterly reserve reports as part of a 2021 settlement with the New York Attorney General’s Office.
Impact on Circle
Tether's entry into the U.S. market is expected to reshape the competitive landscape, considering the company's financial resources. Circle’s stock drop of over 6% reflects negative implications for USDC, which has long positioned itself as a regulated alternative to USDT.
The launch of USA₮ strengthens Tether's position in the U.S. market, which in turn creates new challenges for Circle and its stablecoin USDC.
