Tether, known for the widely-used stablecoin USDT, has announced the launch of a U.S.-regulated dollar-backed stablecoin named USAT, alongside the appointment of Bo Hines to lead its American division.

Key points to note:

• The USAT token aims to comply with the GENIUS Act requirements and is scheduled for launch later this year.
• Anchorage Digital will handle the issuance of the token, while Cantor Fitzgerald will take care of its reserves. Tether will collaborate with these partners, sharing revenue from the USAT reserves, although specific details are still pending.

Bo Hines, previously a director on the White House Crypto Council under President Trump, will spearhead Tether’s U.S. initiatives. This strategic move marks Tether’s effort to establish a stablecoin under U.S. regulations, aspiring to compete with firms like Circle, Paxos, and Ripple in a burgeoning sector predicted to expand into a trillion-dollar market.

With the enactment of the GENIUS Act—which sets federal standards for stablecoin issuers—the timing of this announcement appears well-calibrated.

Hines stated, “By building USAT with compliance, transparency, and innovation at its core, we are ensuring that the dollar remains the foundation of trust in the digital asset space.”

In addition to its new USAT token, Tether plans to centralize its U.S. operations in Charlotte, North Carolina, while maintaining its international base in El Salvador.