Tether, the world’s largest stablecoin issuer, announced Friday the launch of USA₮, a U.S.-regulated, dollar-backed digital token, alongside the appointment of Bo Hines as the future chief executive officer of Tether USA₮. The move marks the company’s first effort to establish a stablecoin under U.S. regulatory oversight, aligning with the recently enacted GENIUS Act, the federal framework governing stablecoin issuance.
A U.S.-Based Stablecoin Initiative
According to the company, USA₮ will be governed by strict reserve and compliance requirements and issued through Anchorage Digital, the only federally regulated crypto bank. Cantor Fitzgerald will serve as reserve custodian and primary dealer.
Tether said USA₮ will rely on its Hadron tokenisation platform and will draw from the firm’s existing global distribution network. The project aims to provide institutions and businesses with a regulated alternative to traditional payment systems.
The launch comes as Tether’s flagship token, USD₮, maintains a market capitalisation of more than $169 billion, making it the most widely used stablecoin worldwide. USD₮ processes daily transaction volumes that rival or exceed traditional payment giants and is widely adopted in emerging markets, particularly among underbanked communities.
Tether Announces Leadership and Regulatory Alignment
Hines, who previously served as executive director of the White House Crypto Council, is set to lead the U.S. operations once USA₮ is formally established. His background in law, business, and policy is expected to guide the stablecoin’s rollout under U.S. regulatory scrutiny.
“Today, with the introduction of USA₮ and Bo Hines’s appointment as future CEO of Tether USA₮, we are taking the next natural step, bringing that same strength to the U.S. under a world-leading U.S.-regulatory framework,” Tether CEO Paolo Ardoino said in a statement.
Tether reported more than $13 billion in profit last year and remains one of the largest holders of U.S. Treasuries, ranking 18th globally, ahead of countries such as Germany and South Korea. The company said the introduction of USA₮ builds on its existing role in global finance while adapting to U.S. regulatory demands.
Broader Industry Context
The launch of USA₮ underscores the growing importance of regulatory frameworks in the digital asset market. The GENIUS Act, enacted earlier this year, set out federal rules for stablecoin issuers, requiring reserve transparency and oversight.
Hines said in a prepared statement that USA₮ would be built with compliance “at its core” and would aim to strengthen the role of the U.S. dollar in the global financial system. With USA₮, Tether is moving to expand beyond its international footprint into a U.S.-regulated model, positioning itself to meet rising demand for secure, government-compliant digital dollars.
