From CNBC: 2025-05-02 06:54:00

Tether, the world’s largest stablecoin issuer, plans to launch a U.S.-based stablecoin this year. CEO Ardoino is working on the new dollar-pegged coin to comply with U.S. regulations, shifting from a criminal association to a partnership with American lawmakers and law enforcement.

Ardoino’s charm offensive in Washington raises questions on Capitol Hill. Tether’s influence may be shaping key legislation, including the GOP-backed GENIUS Act. Critics argue the bill contains loopholes benefiting Tether and other foreign issuers, allowing operations in the U.S. with law enforcement cooperation.

Tether, headquartered in El Salvador, emphasizes legal collaboration despite past regulatory penalties. Ardoino reassures the firm’s financial backing, citing $120 billion in U.S. Treasuries and $7 billion in excess equity to withstand market shocks. Tether’s latest reports confirm assets exceeding liabilities, ensuring transparency and security.

Tether’s partnership with Cantor, managed by the sons of U.S. Commerce Secretary Howard Lutnick, sparks inquiries. Ardoino maintains distance from Secretary Lutnick due to potential conflicts of interest but highlights positive relationships in Washington. Eric Trump and Donald Trump Jr. also announced plans for a U.S. dollar-backed stablecoin through World Liberty Financial.

Read more: Tether eyes U.S. expansion with new stablecoin as CEO courts Washington