Tether, the powerhouse behind the $148 billion stablecoin USDT, has ambitious plans to launch a U.S.-focused stablecoin by the end of this year or early 2026, contingent on the finalization of national stablecoin legislation, according to CEO Paolo Ardoino in a recent interview with CNBC.
“Realistically, it depends on the timeline of the final legislation on stablecoins, but we are looking at [launching the product] by the end of this year or early next year at the fastest,” Ardoino noted, indicating a proactive approach towards capitalizing on the burgeoning U.S. market.
The existing USDT token is primarily aimed at users in emerging markets where access to U.S. dollars is limited. However, Ardoino emphasized that the forthcoming U.S. stablecoin will cater to different needs, aiming to create a payment product suitable for institutional use and competitive with existing platforms like PayPal’s CashApp. “In the U.S., you have to create a payment product, something that could be used by institutions, something that can be used as a competitor of PayPal’s CashApp,” he elaborated.
This strategic move underscores Tether’s increasing footprint in the U.S. market at a time when regulatory pressures appear to be easing, especially with Donald Trump’s potential return to the presidency. Ardoino’s tour of the U.S. this year, during which he participated in interviews and conferences—including an event hosted by the Wall Street investment bank Cantor Fitzgerald—demonstrates Tether’s commitment to building relationships and credibility within the sector.
Cantor Fitzgerald, which manages Tether’s extensive U.S. Treasury holdings exceeding $100 billion, has close ties with Tether, as former CEO Howard Lutnick now serves in the Trump administration as Secretary of Commerce. This collaboration may provide Tether with a unique advantage in navigating the evolving regulatory environment.
As competition escalates in the stablecoin marketplace, particularly with U.S. federal legislative efforts to regulate the sector intensifying, the opportunity for growth remains vast. Industry analysts, such as those from Citi, project that the stablecoin market could reach multi-trillion-dollar valuations by the decade’s end, highlighting its immense potential.
In tandem with Tether’s developments, rival firm Circle—the issuer of the $62 billion USDC stablecoin—recently announced plans for a new payments and remittances network, signaling that the competition to dominate the stablecoin space is only set to intensify.
Read more: U.S. Senate Moves Toward Action on Stablecoin Bill
