Tether Considers New Stablecoin Amid U.S. Regulatory Challenges

According to PANews, Tether CEO Paolo Ardoino has expressed that he is not concerned about the potential ban of USDT in the United States due to new regulatory measures. Tether is actively exploring the creation of a new stablecoin registered in the U.S. that will comply with forthcoming American stablecoin regulations. Ardoino emphasized the need for two products with distinct value propositions, suggesting that USDT is more suitable for emerging markets and may not maintain its dominance in the U.S. and Europe in the future. Under current regulations, both the U.S. House of Representatives and Senate require foreign stablecoin issuers like Tether, headquartered in El Salvador, to adhere to the Bank Secrecy Act's stringent anti-money laundering requirements and undergo rigorous audits of their reserves. Tether, a stablecoin giant with a market capitalization of $144 billion, has never undergone a comprehensive financial audit. Critics and competitors argue that if Tether is forced to comply with complex anti-terrorism and anti-money laundering rules, it might completely withdraw from the U.S. market. Over the years, there have been persistent doubts about whether Tether has the financial backing to support each USDT token.