Tether, the company behind the world’s most popular stableecoin, USDT, revealed an American-regulated, dollar-supported token called USAT and appointed Bo Hines as head of his US division.
Anchorage Digital, a federally regulated crypto bank, will act as tokens Issuer, while Cantor Fitzgerald will manage the reserves. The token will debut later this year, Tether CEO Paolo Ardoino said on stage at the New York event on Friday.
Hines, a lawyer and former Director of the White House Crypto Council, who advises President Donald Trump about cryptopoliks, will lead Tether’s new US unit.
The move marks Tether’s first steps to create a stableecoin for US SUPPLY CONTAINING TO COMPLETE WITH US-BASED EXPRESSIONS AS CIRCLE (CRCL)Paxos and Ripple. StableCeCoins or Cryptocurrencies tied to Fiat money like the US dollar, is increasingly popular as a payment alternative and is potentially expected to grow to a trillion dollar market in the next few years from the current $ 270 billion. The expansion was strengthened by the recently adopted Genius Law, the law of setting federal rules for stableecoin issuers.
Tether’s Usdt StableCoin has grown into an asset of $ 169 billion with hundreds of millions of users around the world. It is especially popular in new markets where high banking fees and inflation are pushing people against digital dollars. However, it has asked questions from regulators and decision makers about supervision and transparency.
The new USAT token is framed as a product for US companies and institutions, supported by revealed reserves and meets the requirements of US standards.
“By building USAT with compliance, transparency and innovation in the core, we ensure that the dollar remains the basis of trust in the digital asset space,” Hines said in a statement.
When he spoke with the media, Ardoino and Hines said that Anchorage and Cantor will be shareholders in the newly established US unit and share the revenue from the USAT-token reserve assets, although details have not yet been completed.
Tether plans to run American operations in Charlotte, North Carolina, while holding his international headquarters in El Salvador, they added.
Update (September 12, 16:18 UTC): Adds additional details from the New York event.
