Tether, the powerhouse behind the world's largest stablecoin, USDT, is embarking on a bold and multifaceted strategic shift. Under the leadership of CEO Paolo Ardoino, the company is not only preparing to launch a fully compliant U.S.-based stablecoin in response to the recently passed GENIUS Act, but also aiming to become the world's largest Bitcoin miner by the end of 2025. This dual focus highlights Tether's ambition to solidify its position as a central player in both the stablecoin and core crypto infrastructure sectors.
The passage of the "Guiding and Establishing Innovation for U.S. Stablecoins" (GENIUS) Act in June 2025 marks a pivotal moment for stablecoin regulation in the U.S. Speaking on a recent Bankless podcast (aired June 23, 2025), Paolo Ardoino expressed optimism about the legislation, believing it will establish a much-needed global compliance framework for stablecoins, encompassing both domestic and foreign issuers.
Under the new law, stablecoin issuers face stringent requirements including full reserve backing, robust Anti-Money Laundering (AML) and Know Your Customer (KYC) compliance, and enhanced transparency. Tether has a window of 18 to 36 months to either revamp its existing USDT token to meet these new U.S. standards or launch a new, dedicated onshore stablecoin tailored specifically for the American market. This strategic decision is crucial, as competitors like USDC and the emerging RLUSD are poised to capitalize on any missteps.
Despite the regulatory pressure, Tether has actively collaborated with authorities. Ardoino highlighted the company's work alongside the U.S. Department of Justice in freezing illicit funds using its advanced blockchain monitoring systems. He further noted Tether's unmatched record of collaboration with over 250 law enforcement agencies globally.
Beyond stablecoins, Tether is making an aggressive push into Bitcoin mining. Ardoino revealed substantial investments in Bitcoin mining infrastructure, alongside ventures into AI, telecommunications, and data centers. With over $10 billion in Bitcoin holdings on its balance sheet, Ardoino stressed the importance of protecting the underlying network that secures these assets from potential manipulation and centralization risks.
"Realistically, by the end of this year, Tether will become the biggest bitcoin miner out there," Ardoino confidently declared. This ambitious goal places Tether in direct competition with established mining giants like Marathon Digital and Riot Platforms.
Tether has quietly amassed a significant mining footprint, reportedly pouring billions into expanding its infrastructure. The company has already established over 15 mining facilities, particularly through strategic partnerships with Latin American governments in regions such as El Salvador, Paraguay, and Uruguay, leveraging their renewable energy resources. However, Tether has yet to publicly disclose its share of the total Bitcoin hashrate, making independent assessment of its current standing challenging.
Tether now faces critical decisions regarding its approach to the U.S. market and the compliance demands of the GENIUS Act. Whether it opts to overhaul USDT, launch a new U.S.-specific stablecoin, or potentially withdraw from the American market will have significant implications for its future.
Simultaneously, its aggressive move into Bitcoin mining signals a clear diversification beyond its stablecoin roots. Tether is no longer just a stablecoin issuer; it is rapidly transforming into a major player betting big on the core infrastructure and long-term security of the Bitcoin network. The coming months will reveal the true impact of these bold strategic shifts on Tether's dominance and the broader cryptocurrency landscape.
July 2025, Cryptoniteuae