The world’s largest digital asset company, Tether, states its latest stablecoin USA₮ is available to all businesses and to be used for domestic and international payments.
Tether has launched its first federally regulated stablecoin, USA₮, designed specifically around the US GENIUS Act.
Announced on January 27, USA₮ is issued by federally regulated stablecoin issuer Anchorage Digital Bank. The stablecoin is currently available to businesses and individuals who are interested in trading and paying with a US dollar-backed digital currency backed by federal regulations.
USA₮ leverages the same blockchain infrastructure as Tether’s USDT, the largest stablecoin per market capitalisation in the world, and purposefully built for the US financial market to perform transactions via Anchorage.
The initial rollout of USA₮ will see it become available on Bybit, Crypto.com, Kraken, OKX and Moonpay.
“USA₮ offers institutions an additional option: a dollar-backed token made in America,” said Paolo Ardoino, CEO of Tether.
“USDT has proven for more than a decade that digital dollars can deliver trust, transparency, and utility at a global scale. USA₮ extends that mission by providing a federally regulated product designed for the American market.”
GENIUS compliance
Underpinning the scalability of USA₮ is its compliance with the GENIUS Act regulatory framework, which was passed in the House of Representatives in July 2025.
The dollar denominated stablecoin specifically complies with the GENIUS Act for incumbent banks and regulated exchanges to adopt USA₮ from tis preferred reserve custodian and primary dealer, Cantor Fitzgerald.
The US financial service will ensure USA₮ is accessible and provides secure asset management, while also allowing for visibility of USA₮ reserves for adopters.
The GENIUS Act enforces the 1:1 rule, meaning stablecoin issuers must maintain fiat reserves 100% to its digital counterpart. This also mandates issuers to make deposits available at insured depository institutions.
For Anchorage, which has a market cap of $3bn, it is regulated by the Office of the Comptroller of the Currency (OCC) as it is a licensed national charter bank that can issue stablecoins.
By complying with the GENIUS Act, Anchorage is banned from earning interest or yield on USA₮, a fiercely contested debate occurring in the Senate in recent weeks over text language drafts of the CLARITY Act.
Tether and Anchorage must also publish their reserves every month and be certified by CEOs, as well as produce annual financial statements and audits, comply with the Bank Secrecy Act’s anti-money laundering and Know Your Customer guidelines, and transparent procedures for redemption.
Designed for US dollar dominance?
As USD stablecoins can help preserve the value of the dollar, the US government has placed great emphasis in establishing the GENIUS Act and promoting stablecoin usage in order to preserve its number one currency status.
This has been threatened in recent years though, as BRICS (Brazil, Russia, India, China, South Africa) have joined forces to trade in local currencies as part of its de-dollarisation push for international trade.
Non-dollar-denominated stablecoins are also gathering pace. Circle’s EURC is compliant with the Markets in Crypto Assets (MiCA) framework in Europe – unlike Tether’s EU-backed stablecoin EURT – while nine European banks formed Qivalis in December 2025 to develop a Euro-denominated stablecoin to become MiCA compliant to launch in the second half of 2026.
Despite these developments, US-denominated stablecoins continue to dominate the market, accounting for 99% of all stablecoins in circulation. Tether’s USDT remains the most popular with a market cap of $186bn, followed by Circle’s USDC with $71.5bn and Ethena USDe with $6.5bn.
USA₮ intends to support the US domestic and global economies to be used for payments in commerce and reserves. Its performance and governance will be overseen by Bo Hines, CEO of Tether USA₮.
“With the launch of USA₮, we see a digital dollar that is designed to meet federal regulatory expectations,” said Hines
“Our focus is stability, transparency, and responsible governance, ensuring that the United States continues to lead in dollar innovation.”
