{"id":845727,"date":"2025-05-04T09:11:35","date_gmt":"2025-05-04T14:11:35","guid":{"rendered":"https:\/\/newsycanuse.com\/index.php\/2025\/05\/04\/tether-plans-new-us-dollar-stablecoin-as-reserves-near-120-billion-amid-washington-lobbying\/"},"modified":"2025-05-04T09:11:35","modified_gmt":"2025-05-04T14:11:35","slug":"tether-plans-new-us-dollar-stablecoin-as-reserves-near-120-billion-amid-washington-lobbying","status":"publish","type":"post","link":"https:\/\/newsycanuse.com\/index.php\/2025\/05\/04\/tether-plans-new-us-dollar-stablecoin-as-reserves-near-120-billion-amid-washington-lobbying\/","title":{"rendered":"Tether plans new US dollar stablecoin as reserves near $120 billion amid Washington lobbying"},"content":{"rendered":"<div data-site=\"CoinJournal\">\n<div data-site=\"CoinJournal\">\n<picture><source  type=\"image\/webp\" media=\"(min-width: 750px)\"><source  type=\"image\/webp\"><source  type=\"image\/jpeg\" media=\"(min-width: 750px)\"><source  type=\"image\/jpeg\"><img decoding=\"async\" src=\"https:\/\/coinjournal.net\/wp-content\/uploads\/2024\/05\/tether-usdt.jpg\" alt=\"Tether, USDT\" width=\"100%\" height=\"100%\">\n<\/picture>                            <\/div>\n<ul>\n<li>Q1 2025 audit shows excess reserves down to $5.6 billion from $7 billion.<\/li>\n<li>Tether\u2019s reserves are managed by Cantor Fitzgerald, raising scrutiny over potential conflicts.<\/li>\n<li>Competitor World Liberty Financial, backed by the Trump family, also plans to launch a stablecoin.<\/li>\n<\/ul>\n<p class data-start=\"139\" data-end=\"610\">Tether, the world\u2019s largest stablecoin issuer by market capitalisation, is preparing to launch a US-based stablecoin by the end of 2025 or early 2026.<\/p>\n<p class data-start=\"139\" data-end=\"610\">The move marks a shift in the company\u2019s strategy as it aims to align itself more closely with American regulatory frameworks.<\/p>\n<p class data-start=\"139\" data-end=\"610\">While its international USDT token is already dominant in global crypto trading, the proposed dollar-pegged stablecoin will be designed to comply with domestic regulations in the United States.<\/p>\n<p class data-start=\"612\" data-end=\"1030\">Tether CEO Paolo Ardoino revealed the development during an interview at the Token2049 conference in Dubai.<\/p>\n<p class data-start=\"612\" data-end=\"1030\">He confirmed the company was awaiting the outcome of pending US legislation before finalising a launch timeline.<\/p>\n<p class data-start=\"612\" data-end=\"1030\">The push coincides with Tether\u2019s broader attempt to reposition itself in the US as a compliant and cooperative player, following past controversies over its reserve disclosures and regulatory fines.<\/p>\n<h2 class data-start=\"1032\" data-end=\"1075\">Lobbying efforts intensify in Washington<\/h2>\n<p class data-start=\"1077\" data-end=\"1534\">Tether\u2019s domestic pivot comes as Ardoino increases his presence in Washington, DC.<\/p>\n<p class data-start=\"1077\" data-end=\"1534\">His recent efforts include private meetings with lawmakers and a Capitol Hill lunch with Republican Senator Bill Hagerty, according to reports.<\/p>\n<p class data-start=\"1077\" data-end=\"1534\">The company is now actively lobbying in support of proposed legislation like the GOP-backed GENIUS Act, which includes provisions that could benefit foreign issuers such as Tether if they agree to cooperate with US law enforcement.<\/p>\n<p class data-start=\"1536\" data-end=\"1908\">Ardoino has also underscored Tether\u2019s relationship with US agencies, stating that no other financial entity, traditional or crypto, matches its collaboration level with law enforcement.<\/p>\n<p class data-start=\"1536\" data-end=\"1908\">While the company was once criticised for allegedly enabling criminal transactions, its new strategy focuses on transparency and legal compliance as a means of gaining regulatory approval.<\/p>\n<p class data-start=\"1910\" data-end=\"2223\"><a href=\"https:\/\/coinjournal.net\/news\/tether-to-relocate-operations-to-el-salvador\/\">Tether\u2019s headquarters remain in El Salvador<\/a>, but the company\u2019s efforts to develop a domestically compliant stablecoin reflect its evolving approach to regulatory alignment.<\/p>\n<p class data-start=\"1910\" data-end=\"2223\">It is positioning the new token as separate from its global USDT product, tailored to meet specific legal and financial rules within the US.<\/p>\n<h2 class data-start=\"2225\" data-end=\"2265\">Cantor Fitzgerald link draws scrutiny<\/h2>\n<p class data-start=\"2267\" data-end=\"2592\">As part of its reserve management strategy, Tether holds billions in US Treasuries managed by Cantor Fitzgerald, a major Wall Street firm.<\/p>\n<p class data-start=\"2267\" data-end=\"2592\">The firm\u2019s Q1 2025 attestation report confirmed holdings of nearly $120 billion in Treasuries, though its excess reserves declined to $5.6 billion from over $7 billion in December 2024.<\/p>\n<p class data-start=\"2594\" data-end=\"3038\">The Cantor connection has attracted attention due to the firm being led by the sons of US Commerce Secretary Howard Lutnick.<\/p>\n<p class data-start=\"2594\" data-end=\"3038\">Ardoino addressed concerns around conflicts of interest, stating that proper \u201cwalls\u201d are in place and that he does not communicate directly with the secretary.<\/p>\n<p class data-start=\"2594\" data-end=\"3038\">He also emphasised Tether\u2019s healthy capital position, noting $7 billion in excess equity and suggesting that traditional institutions should emulate its model.<\/p>\n<p class data-start=\"3040\" data-end=\"3380\">In 2021, Tether paid $18.5 million to settle charges by the New York attorney general over misrepresentations about its reserves.<\/p>\n<p class data-start=\"3040\" data-end=\"3380\">Since then, it has begun publishing routine attestation reports.<\/p>\n<p class data-start=\"3040\" data-end=\"3380\">Ardoino insisted the company is now better capitalised than many traditional financial firms and prepared to withstand significant market shocks.<\/p>\n<h2 class data-start=\"3382\" data-end=\"3420\">Domestic stablecoin market heats up<\/h2>\n<p class data-start=\"3422\" data-end=\"3688\">Tether\u2019s expansion into the US stablecoin market comes amid increased political attention.<\/p>\n<p class data-start=\"3422\" data-end=\"3688\">The Trump-backed World Liberty Financial recently announced plans to launch its dollar-backed token, adding to the competition for regulatory legitimacy and market share.<\/p>\n<p class data-start=\"3690\" data-end=\"4002\">While stablecoins remain a hot topic in Washington, the GENIUS Act and other proposals could set the stage for clearer compliance pathways for issuers.<\/p>\n<p class data-start=\"3690\" data-end=\"4002\">Tether\u2019s ability to influence policy could prove crucial as it seeks to enter a space where scrutiny is likely to intensify in the run-up to the 2026 elections.<\/p>\n<p class data-start=\"4004\" data-end=\"4286\"><a href=\"https:\/\/www.cnbc.com\/2025\/05\/02\/crypto-tether-eyes-us-expansion-with-new-stablecoin-as-ceo-courts-washington.html\">Tether\u2019s move<\/a> to issue a domestically regulated stablecoin is not only a technical milestone but also a political statement.<\/p>\n<p class data-start=\"4004\" data-end=\"4286\">As regulatory conversations gain momentum in Washington, its future may depend less on market dominance and more on legal alignment with US financial policy.<\/p>\n<div>\n<hr>\n<h6>Share this article<\/h6>\n<hr>\n<h6>Categories<\/h6>\n<hr>\n<h6>Tags<\/h6>\n<\/p><\/div>\n<\/p><\/div>\n<p><a href=\"https:\/\/coinjournal.net\/news\/tether-plans-new-us-dollar-stablecoin-as-reserves-near-120-billion-amid-washington-lobbying\/\" class=\"button purchase\" rel=\"nofollow noopener\" target=\"_blank\">Read More<\/a><br \/>\n Diya Poddar<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Q1 2025 audit shows excess reserves down to $5.6 billion from $7 billion. Tether\u2019s reserves are managed by Cantor Fitzgerald, raising scrutiny over potential conflicts. Competitor World Liberty Financial, backed by the Trump family, also plans to launch a stablecoin. Tether, the world\u2019s largest stablecoin issuer by market capitalisation, is preparing to launch a US-based<\/p>\n","protected":false},"author":1,"featured_media":845728,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[974,22944],"tags":[],"class_list":{"0":"post-845727","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-plans","8":"category-tether"},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/845727","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/comments?post=845727"}],"version-history":[{"count":0,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/845727\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media\/845728"}],"wp:attachment":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media?parent=845727"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/categories?post=845727"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/tags?post=845727"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}