Tether is making a move in the US with plans to launch USAT, a regulated dollar-backed stablecoin. Alongside the new token, former White House crypto official Bo Hines has been named to lead the project.

Tether Launches New US Stablecoin, Bo Hines to Lead the Project

Tether is expanding its stablecoin offerings with plans to roll out USAT, a new US-based digital asset tailored for American residents, according to a statement from CEO Paolo Ardoino on Friday.

The company has also named Bo Hines, a former Executive Director of the White House Crypto Council under President Donald Trump, as CEO of its newly formed US unit, which will be based in his home state of North Carolina.

The move signals Tether’s aim to strengthen its presence in the United States by offering a more compliant digital dollar for users.

USDT, the world’s largest USD-pegged stablecoin, currently holds a market cap of more than $169 billion, according to crypto data provider CoinGecko. By launching USAT, Tether is positioning itself as a potential competitor to Circle’s USDC, which is the second-largest stablecoin in circulation.

USAT Could Boost Tether’s US Expansion

USAT is designed to be a US-regulated, dollar-backed stablecoin, created to complement Tether’s main stablecoin, USDT. Tether stated that USAT will comply with the GENIUS-Gesetz under the oversight and issuance of Anchorage Digital.

“As a US-regulated dollar-backed stablecoin, USAT bridges the world of blockchain with American financial standards”, said Ardoino.

The stablecoin will be minted and redeemed using Anchorage Digital Bank, with Cantor Fitzgerald managing the reserves, ensuring that every USAT token is backed by US-compliant assets. This setup aims to provide security, transparency, and regulatory compliance, making USAT suitable for US-based investors and institutions.

The launch of USAT marks a return to the US market for Tether, whose USDT asset previously limited direct service to US-based customers. The new stablecoin is part of a larger strategy to strengthen the company’s presence in the United States after years of focusing on international markets.

Broader Regulatory Clarity For Stablecoins

Stablecoins have seen increased demand this year, as top financial institutions plan to join the digital payments trend. The US signed its first comprehensive federal framework for cryptocurrencies under the GENIUS Act, enacted in July 2025.

The bill aims to enhance transparency, consumer protection, and anti-money laundering (AML) compliance for Stablecoin issuers while fostering innovation and trust in digital finance.

Since the signing of the stablecoin law, major US banks have been actively pursuing stablecoin launches, reflecting a wider wave of institutional adoption. Top institutions spearheading this move include Bank of America, Citibank, JPMorgan, Goldman Sachs, and Morgan Stanley.

These firms are exploring or actively developing stablecoin products as they prepare to leverage the growing regulatory environment surrounding cryptocurrency, following the establishment of the GENIUS Act.

The stablecoin market cap exceeds $291 billion, with market analysts predicting it could reach $2 trillion by 2028.