Tether has announced a new US-regulated stablecoin called USAT, designed specifically for US investors and scheduled to launch by the end of 2025. The initiative is part of Tether’s strategy to strengthen its presence in the US market.
The new stablecoin will be issued by Anchorage Digital Bank, with Bo Hines - former White House adviser - leading the USAT initiative. USAT is intended to be fully compliant with the recently passed GENIUS Act, which sets requirements for stablecoins such as transparent reserves and regulatory oversight. USDT will continue to exist as a foreign stablecoin, while USAT will serve as a domestic alternative.
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Goals and partners
With USAT, Tether aims to meet the legal requirements established under the GENIUS Act - particularly regarding liquidity and reserve disclosure. The issuer will be Anchorage Digital Bank, while Cantor Fitzgerald will act as custodian of the reserves. Bo Hines will lead the new project and oversee distribution in the US. The headquarters will be in Charlotte, North Carolina.
With this step, Tether is responding to increasing competition from rivals such as Circle, which are also active in the US stablecoin market. The establishment of USAT is intended to give Tether a stronger position, especially as the market becomes more transparent and competitive under the new regulations. USDT will remain in place, but USAT is meant to serve as the regulated “US-based” solution for American customers.
Challenges and outlook
USAT will be fully backed by US dollar reserves and will publish monthly audited reports of its holdings. Anchorage Digital Bank will not only manage issuance but also ensure regulatory compliance under US banking law. This differentiates USAT from USDT, which is issued outside the US and subject to less stringent oversight.
Tether plans the official launch of USAT by the end of 2025. According to Reuters, the main focus is on US investors who so far have had only limited access to stablecoins that comply with the new US laws.
