Tether CEO’s Media Blitz Signals a Major Shift in Stablecoins
Over the past week, Tether’s CEO Paolo Ardoino has dominated the headlines, appearing in Fortune, Bloomberg, Reuters, and TechCrunch. But why is the executive behind the controversial stablecoin USDT making such a high-profile push?
The answer lies in timing and strategy.
Launching a U.S.-Regulated Stablecoin: USAT
This week, Tether introduced USAT, a U.S.-regulated stablecoin issued through Anchorage Digital Bank. USAT represents Tether’s first offering explicitly designed to comply with emerging federal rules, aiming to compete directly with Circle’s USDC.
The move coincides with a wave of competition: Fidelity Investments launched its own stablecoin on Wednesday, joining financial giants like JPMorgan Chase and PayPal in the expanding U.S. stablecoin market.
For Ardoino, this marks a dramatic turnaround. Previously, he avoided U.S. markets entirely, watching from offshore as regulators investigated his company. The Economist once described Tether as a “money launderer’s dream,” highlighting the controversy surrounding the company.
Now, Ardoino says those days are over. Speaking from Lugano, Switzerland, where Tether maintains an office, he confirmed that Tether is actively engaging with White House officials, the FBI, and the Secret Service to establish USAT as a credible competitor.
USDT’s Unmatched Reach and Growth
Despite past skepticism, Tether’s flagship token, USDT, remains a market powerhouse. The stablecoin has $187 billion in circulation globally and boasts 536 million users, growing by 30 million per quarter. Ardoino compares this growth to Facebook, rather than typical fintech apps:
“It’s growing at a pace more like Facebook rather than any other fintech application.”
Tether’s first-mover advantage is particularly significant in countries with weak currencies. Ardoino points out:
“In Argentina, the peso lost 94.5% of its value against the U.S. dollar in the last five years. In Haiti, the average salary is $1.34 per day. These people were never part of the financial system.”
He adds:
“What Tether created is the biggest financial inclusion success story in the history of humanity.”
Addressing Past Controversies
Ardoino acknowledges past challenges, such as allegations highlighted by The Economist regarding Russian money launderer Ekaterina Zhdanova.
“The amounts highlighted in the piece are truly a drop in the ocean,” he says. “The infinite, vast majority of the usage of USDT is by good people.”
Today, Tether collaborates with almost 300 law enforcement agencies across more than 60 countries to monitor transactions. Ardoino emphasizes that USDT’s blockchain transparency can make it more effective than cash in combating illicit activity:
“If there are cash pallets of hundreds of billions of dollars roaming around the world, U.S. law enforcement can hardly do anything about it. But with USDT… we could quickly freeze the funds.”
He cites $3.5 billion frozen in tokens, mostly recovered from scams or hacks. In 2023 alone, Tether identified $225 million in a pig-butchering scam almost instantly.
Stability Under Pressure
Critics remain cautious. Just three months ago, S&P Global Ratings described USDT’s stability as weak. Ardoino is unbothered:
“If that is the same S&P that completely missed the subprimes, I’m proud they’re considering us weak.”
Tether weathered the 2022 TerraLuna collapse, redeeming $7 billion in 48 hours and $20 billion in 20 days without disruption. In contrast, rivals like Circle faced challenges during the Silicon Valley Bank collapse in 2023, when USDC briefly lost its peg.
Ardoino points out Tether’s robust reserves:
“Tether now has $30 billion in excess reserves… even if Bitcoin would go to zero, Tether would have more money than all the USDT tokens issued.”
Profits, Regulation, and the CLARITY Act
Tether’s reserves generate significant profits. According to Fortune, the company reported $15 billion in profit for 2025, primarily from yields on reserves not shared with USDT holders. Ardoino notes that interest payments are less relevant for users in countries with volatile currencies:
“The Turkish Lira lost 81% of its value against the U.S. dollar in the last five years. The Argentina peso lost 94.5%… a 4% annual interest rate is meaningless.”
Pending legislation like the CLARITY Act could formalize Tether’s existing business model by prohibiting stablecoin issuers from paying interest to holders—a move supported by banking groups to prevent deposits from leaving traditional banks.
Beyond Stablecoins: Gold, AI, and Investments
Tether has diversified into other assets. Tether Gold, launched in 2020, has $2.6 billion in circulation, backed by roughly 140 tons of gold worth $24 billion, making Tether one of the world’s largest private gold holders. Ardoino frames these products as alternatives in an uncertain financial landscape:
“Gold has been the first big, almost ubiquitous form of currency in humanity… with blockchain technology, we could make gold again a currency used not only as a store of value, but also a way to exchange value.”
Tether is also exploring AI, with Qvac, a decentralized AI platform, and substantial investments in Neura, Rumble, satellites, data centers, and agriculture. Ardoino describes Tether as evolving into a “social impact company” providing stability for hundreds of millions of people.
Preparing for Political and Market Challenges
Despite political risks, Ardoino remains optimistic:
“I hope that financial inclusion and bringing 536 million people on board onto the dollar is something that both Republicans and Democrats care about. It’s a matter of education.”
He is slated to appear at TechCrunch Disrupt in San Francisco from October 13–15, offering insights into Tether’s ongoing evolution.
Tether’s recent moves—from U.S.-regulated stablecoins to AI platforms—signal a company that is aggressively pivoting from crypto outsider to mainstream financial powerhouse, with Ardoino at the helm steering its expansion into regulated markets and social impact initiatives.
0 Comments