Tether Expands US Operations with New Stablecoin and Funding Plans

Tether is making major moves in 2025. The company behind the world’s largest stablecoin just launched a US-focused token called USAT. They’re also seeking up to $20 billion in funding that could value the company at $500 billion.

Former White House crypto official Bo Hines will lead USAT as CEO. The new stablecoin targets a late 2025 launch and will operate under US regulations.

This marks Tether’s official entry into the American market after years of operating primarily offshore.

The timing isn’t random. President Trump signed the GENIUS Act in July 2025, creating a regulatory framework for stablecoins. The Office of the Comptroller of the Currency now oversees stablecoin issuers. This gives Tether the green light to operate legally in the US.

Market Dominance of Tether Continues to Grow

USAT will be headquartered in Charlotte, North Carolina. Cantor Fitzgerald will custody the treasury reserves while Anchorage handles token issuance. Both companies bring serious financial credentials to the partnership.

Tether’s main token, USDT, currently has a market cap exceeding $172 billion. That’s more than double Circle’s USDC, which sits at around $74 billion.

The total stablecoin market has surpassed $250 billion, showing massive growth potential.

The proposed $500 billion valuation would put Tether alongside tech giants like SpaceX and OpenAI. OpenAI’s recent funding round valued that company at $300 billion. If successful, Tether would become one of the world’s most valuable private companies.

What This Means for Crypto Traders

Smart money is watching these developments closely. Stablecoins serve as the backbone of crypto trading. More regulated options could attract institutional investors who’ve stayed on the sidelines.

USAT specifically targets businesses and institutions. This suggests Tether sees huge demand from corporate users. Companies want stablecoins but need regulatory clarity first.

The massive funding round signals confidence in stablecoin growth. Tether generates revenue from investing reserves. With over $172 billion in assets, even small returns create substantial profits.

Traders should monitor USAT’s launch timeline. New stablecoins often create arbitrage opportunities. The regulatory approval could also boost confidence in the broader stablecoin sector.