Tether CEO Claims USDt is Key to US Dollar Dominance
Tether CEO Paolo Ardoino criticized rival stablecoin firms for using regulatory strategies to undermine Tether instead of innovating. This follows concerns about new US regulations that may limit access to US Treasuries for international stablecoin issuers.
Key points from Ardoino's statements include:
- USDt has a market capitalization of $142 billion and serves millions in developing regions.
- Tether has 400 million users, adding 35 million new wallets per quarter.
- Tether holds over $115 billion in US Treasuries, ranking as the 18th largest holder.
- He alleges competitors are focused on eliminating Tether through regulatory means.
Proposed US Stablecoin Bill
Ardoino's comments were prompted by concerns raised by Vance Spencer regarding upcoming US stablecoin regulations that could prevent international issuers from holding US Treasuries. He criticized this potential policy as detrimental to the dollar's global dominance.
The US Congress has introduced two stablecoin bills: the STABLE Act and the GENIUS Act. These aim to clarify regulatory guidelines for stablecoin issuers, requiring specific reserve levels and monthly executive certifications. While some view this as progress for the $230 billion stablecoin market, critics argue it may create barriers for non-US firms.
If enacted, experts suggest these regulations could affect Tether's reserves and overall market stability.