Tether has announced its readiness to legally offer the USDT stablecoin within the U.S. under the new GENIUS Act. This initiative opens new horizons for cryptocurrency usage in the American market.
Signing of the GENIUS Act and Tether's Plans
Tether gained the ability to legally offer USDT in the U.S. following the signing of the GENIUS Act by President Donald Trump. Tether CEO Paolo Ardoino noted that the company will adhere to the new rules governing international stablecoins. He stated: "We will be working very, very hard to ensure compliance with the foreign issuer pathway within the GENIUS Act."
Development of New U.S. Stablecoin
Furthermore, Tether is developing a second product—a stablecoin specifically for the U.S. This move was hinted at in April when it was indicated that a separate coin would be necessary for alignment with domestic compliance standards. Paolo emphasized that USDT is likely to be used "mostly" by immigrants sending remittances home.
Circle's Response to Tether's Actions
Tether's actions raised questions about how Circle, the second-largest stablecoin issuer, would respond. Circle CEO Jeremy Allaire pointed out that the new law reinforces the company's existing strategy, as Circle has long been committed to regulatory compliance. He also mentioned that this opens new partnerships with financial institutions.
With the signing of the GENIUS Act, both Tether and Circle are striving to establish strong positions in the U.S. stablecoin market. The current landscape creates competition that could reshape the cryptocurrency scene for users and businesses alike.
