Tether, the world’s largest stablecoin issuer, plans to keep its focus on international markets while the US grapples with new cryptocurrency regulations.
Overseas Expansion is Key
CEO Paolo Ardoino recently stated that Tether will prioritize growth outside the US, even with the proposed Genius Act making its way through Congress. Ardoino explained that Tether is analyzing the act to ensure compliance, but their primary market will remain overseas. He emphasized the importance of understanding how the bill differentiates between domestic and foreign stablecoin issuers.
Why the US Isn’t a Priority
Tether, based in El Salvador, stopped serving US customers in 2018. Ardoino suggested that focusing on the US market could present challenges, such as regulatory hurdles around using Bitcoin (BTC) as collateral for USDT, which isn’t currently permitted.
Big Banks? Not a Worry
Ardoino also downplayed the threat of major US banks like JPMorgan Chase and Bank of America entering the stablecoin market. He believes these banks will primarily target customers in developed Western nations, while Tether’s focus is on the approximately three billion unbanked individuals globally. This underserved population represents a significant market opportunity for Tether.
