Tether Launches GENIUS Compliant USAT Stablecoin

Tether, the issuer behind the top stablecoin USDT, has announced the launch of USAT, a new GENIUS-compliant, dollar-backed stablecoin specifically designed for the U.S. market. According to the news, USAT is designed to operate seamlessly within a dedicated U.S. federal regulatory framework, establishing it as a preferred choice for users seeking a fully compliant and transparent digital dollar.

Tether’s USAT Comes With Lots of Benefits

Notably, the rollout of USAT marks a significant move in Tether’s strategy to expand its footprint in regulated financial sectors. While USDT remains the dominant force in global stablecoin markets, the regulatory landscape in the United States has created a clear demand for a token built explicitly to meet strict federal compliance standards.

As such, USAT is built to meet this demand as it aligns with the principles set forth under the GENIUS framework. The stablecoin issuer affirmed that USAT will maintain a one-to-one peg with the U.S. dollar, supported by dollar-dominated reserves. This reinforces trust and stability for institutional and retail participants. Meanwhile, the issuer of the stablecoin is Anchorage Digital Bank, the first crypto bank approved by the U.S. government.

For U.S. users, the USAT launch signifies an advancement in access to compliant digital assets. If widely adopted, the GENIUS-compliant USAT could bolster confidence in stablecoins as dependable financial instruments. Furthermore, it will bridge the gap between traditional finance and blockchain-based systems. 

It is also worth noting that USAT will be available on Bybit, Crypto.com, OKX, Moonpay, and Kraken during the first phase of the launch.

Anchorage Brings USDtb Onshore

Recall that last year, Anchorage Digital said it would issue a new digital dollar called USDtb, created by Ethena Labs. USDtb is the first stablecoin to comply with all the rules outlined in the GENIUS Act. With Anchorage’s help, USDtb will be launched safely and legally in the United States.

USDtb is not just another digital dollar. It is a yield-bearing token backed primarily by BlackRock’s BUIDL fund and crypto assets, rather than traditional cash reserves. This structure enables it to maintain its value at $1 while providing returns to holders. 

Through this partnership, Anchorage Digital Bank will start minting and redeeming USDtb within the United States. This marks the first time the token will be available under direct federal regulation.  With this step, Anchorage is now part of a group of prominent names, including Circle, Tether, and PayPal, that already offer stablecoins.

Tether Expands Beyond Crypto With Big Plans to Raise $20B

Tether is expanding its operations beyond the cryptocurrency industry. It is actively exploring opportunities in sectors such as Bitcoin mining and is not limited to energy infrastructure. CEO Paolo Ardoino hopes the company will scale up to 100,000 to 150,000 kiosks by 2030. That would create a massive economy around USDT, which is of significant interest in the region.

These plans reflect Tether’s ambition to not only advance digital finance but also contribute to tangible infrastructure growth in emerging markets. Ardoino recently mentioned that Tether is in discussions with investors to raise $20 billion at a valuation of $500 billion.