Tether Contemplates Broadening Domestic Business Activities Within the USA
In a significant move, Tether, one of the leading stablecoin issuers, is planning to extend its presence in the United States. This decision comes following the passage of the GENIUS Act, a new U.S. stablecoin regulatory framework enacted in July 2025 [1][2][3].
Instead of targeting retail users, Tether aims to offer efficient stablecoin products for financial institutions and interbank operations. By doing so, the company positions itself as a complement to traditional financial services and differentiates from retail-oriented rivals like Circle’s USDC [1][2][3].
The GENIUS Act establishes clear regulatory rules for stablecoin issuers, including mandatory annual reserve audits by a Big Four accounting firm. Tether is preparing to meet these requirements as part of its U.S. market re-entry [3].
Tether plans to remain a privately held company, contrasting with competitors. This strategic choice is intended to maintain flexibility and concentrate on building regulated partnerships without the distractions of public market scrutiny [1][2].
This renewed U.S. expansion follows Tether’s earlier withdrawal from New York amid legal challenges in 2021, illustrating Tether’s adaptation to a clearer and more established regulatory environment under the GENIUS Act [3].
In addition to regulatory compliance, Tether is also actively engaging with U.S. political circles. Jesse Spiro, formerly of PayPal, was hired as Head of Government Relations by Tether in September 2024. Spiro's appointment suggests close attention to U.S. political and regulatory circles to support this expansion [1][2][3].
Tether's CEO, Paolo Ardoino, mentioned that the firm may exceed its 2024 profit projections. Ardoino stated this in an interview with Bloomberg Television, citing the ongoing rally of Bitcoin as one of the factors contributing to Tether's potential profit increase [1][2].
Tether has not served U.S. customers since 2018, but the company's lobbying expenditures in the U.S. have been among the highest over the past few years [1][2][3]. In 2021, Tether paid $41 billion to U.S. authorities as part of a settlement related to alleged "misrepresentations" about Tether's stablecoin's backing [1][2][3].
In January 2025, Tether relocated its headquarters from the British Virgin Islands to El Salvador, signalling a broader global expansion strategy [1][2]. However, the focus remains on the U.S. market, where Tether sees significant potential for growth.
In conclusion, Tether is "well in progress" with implementing its U.S. domestic strategy to comply with the new law and carve out a specialized institutional stablecoin presence. The emphasis is on establishing trust and regulatory compliance to facilitate cross-border and interbank transactions in the U.S market [1][2][3].
[1] Bloomberg, "Tether to Expand in U.S. as Stablecoin Firm Focuses on Institutions," 15 July 2025. [2] CoinDesk, "Tether Moves Closer to U.S. Presence Amid Regulatory Clarity," 15 July 2025. [3] The Wall Street Journal, "Tether's U.S. Expansion: A Focus on Institutional Clients and Regulatory Compliance," 15 July 2025.
Tether's focus in the United States market extends beyond retail users, aiming to offer stablecoin products that cater to financial institutions and interbank operations, aligning with traditional finance and setting itself apart from competitors like Circle’s USDC. In order to meet regulatory requirements established by the GENIUS Act for stablecoin issuers, Tether is preparing to undergo annual reserve audits by a Big Four accounting firm.
The renewed U.S. expansion of Tether seek to leverage Bitcoin's technology, as the ongoing rally of Bitcoin is cited as one of the factors contributing to Tether's potential profit increase, further solidifying Tether's position in the global finance and technology business landscape.
