Tether Aims to Promote Dollar Dominance in Emerging Markets

Tether CEO Paolo Ardoino emphasized the company's commitment to expanding access to U.S. dollars for the unbanked populations worldwide during his address at DC Fintech Week. He expressed optimism about improving U.S. crypto regulations while also highlighting Tether's ongoing efforts to enhance transparency within the industry.

In the U.S. House of Representatives, lawmakers are proposing measures to formally recognize and support stablecoin issuance. While these bills have not yet become law, companies like Ripple are already preparing to launch their offerings in anticipation of regulatory changes.

Notable politicians, including Patrick McHenry and Maxine Waters, are discussing rules that could enable banks to issue stablecoins, potentially threatening Tether's market dominance.

Tether's Global Expansion and Collaboration

Ardoino noted Tether's cooperation with over 180 law enforcement agencies across 45 jurisdictions, reinforcing the company's commitment to combating illicit cryptocurrency use and ensuring the security of blockchain payment systems.

In terms of traditional finance, Tether is considering expanding its involvement beyond U.S. Treasuries and short-term debt. The firm is exploring opportunities to lend its significant profits from Treasury investments and Bitcoin (BTC) mining to traditional financial institutions. This move follows record profits in the first half of the year and a surge of new users, with over 36.25 million new USDT addresses created in Q3 2024.

Additionally, Tether is contemplating a shift in focus from its crypto mining operations to artificial intelligence developments. The company may consider selling its crypto mining business, backed by Northern Data, to invest in AI-centric initiatives.