Tether’s CEO has announced plans to launch a new stablecoin just for the U.S. market, while also making sure USDT follows all the rules under the new GENIUS Act. Meanwhile, Circle said it’s already following these rules and is well prepared as the law gets fully rolled out.
Tether CEO Paolo Ardoino confirmed that the company will take a dual-track approach. It will first launch a new U.S.-specific stablecoin that meets all local rules. At the same time, Tether will also work to bring USDT, its current stablecoin, into compliance with the GENIUS Act through a “foreign issuer” path.
Ardoino emphasized that this is the company’s first official step into the U.S. market under federal regulation. He said the process will include strict anti-money laundering measures. Tether also plans to complete full audits of its reserves, something critics have been asking for over the years. The company will have three years to meet all these requirements.
Ardoino explained that USDT may mainly be used in the U.S. to send money abroad, for example, by immigrants sending funds to family back home. On the other hand, the new U.S.-based stablecoin will be created for domestic use, serving American users directly.
Despite past controversies over Tether’s transparency, Ardoino was confident. He posted on social media, saying, “Now that President Trump has led the United States to embrace digital assets, we believe we can increase tenfold and cement the dollar’s global dominance.”
While Tether is preparing to align with U.S. law, Circle, the company behind USDC, said it has already been doing that for years. CEO Jeremy Allaire welcomed the GENIUS Act, calling it a validation of Circle’s compliance-first approach.
Allaire pointed out that Circle already undergoes regular public audits and backs its stablecoin with cash and short-term U.S. Treasuries, just like the new law requires. He believes the GENIUS Act will only make Circle stronger in the market.
He said, “The GENIUS Act enshrines in law Circle’s way of doing business. It continues to accelerate our opportunity as the world moves from offshore crypto to legal, regulated digital dollars.”