Tether Plans to Register USDT Under GENIUS Act: Foreign Issuer, Domestic Compliance
Tether has announced plans to register USDT in the U.S. as a “foreign issuer” under the newly enacted GENIUS Act — a landmark law regulating stablecoins nationwide.
CEO Paolo Ardoino said the company will bring USDT into full compliance within three years — this includes revamping reserves, undergoing monthly audits by a Big Four firm, and strengthening KYC/AML protocols. Additionally, Tether is preparing a U.S.-specific version of USDT aimed at institutional clients and payment use cases. This is a strategic move, as only 66–83% of USDT reserves currently meet GENIUS Act standards — most of the backing comes from government bonds.
The GENIUS Act, signed by President Trump, imposes a federal standard for stablecoins: mandatory reserves, regular audits, and no redemption rights for holders in the event of issuer bankruptcy. Tether, with $160+ billion in circulation, could become a bellwether for industry compliance. Its main rival, Circle, has already proven its compatibility with GENIUS through transparent reserve structures. Now it’s Tether’s turn — and its success or failure may determine whether USDT can scale legally into the American market.
