Tether, the powerhouse behind the world's largest stablecoin, USDT, is setting its sights on a monumental expansion within the United States. Bolstered by evolving regulatory landscapes and a strategic alliance, the company is poised to redefine its presence, introduce new products, and venture into ambitious new sectors.
Tether's US Market Comeback
Under the new regulatory clarity provided by the GENIUS Act, Tether is strategically re-entering the US market with renewed vigor. CEO Paolo Ardoino revealed plans for a new, US-compliant stablecoin, USAT, signaling a concerted effort to align with local regulations. A cornerstone of this strategy is Tether's significant partnership with Rumble, a rapidly growing video platform. With a 48% stake acquired through a $775 million investment, Tether aims to leverage Rumble's substantial user base—51 million monthly active users—to gain a competitive edge against existing players like USDC. This push comes despite past scrutiny, including a $41 million fine for reserve misrepresentation, demonstrating Tether's determination to rebuild its US foothold.
Aiming For $500 Billion Valuation
Tether's ambitions extend far beyond its core stablecoin business. Following a robust second quarter with $4.9 billion in profit, largely generated from investments in US Treasuries, the company is diversifying into high-growth areas such as artificial intelligence, energy, and commodities. The forthcoming Rumble crypto wallet will not only facilitate USAT transactions but also support Tether's tokenized gold product. Furthermore, Ardoino outlined an audacious goal to raise up to $20 billion for a 3% equity stake, potentially valuing Tether at an astounding $500 billion. A portion of these funds is earmarked for developing an AI platform tailored for low-cost smartphones in emerging markets like Africa and South America, alongside an offline AI-powered language translation application, showcasing a broader vision for technological innovation and global impact.
