Ardoino on the stablecoin bill: Tether can be compliant, developing countries are still the main market for USDT.

The stablecoin regulatory bill supported by the industry, the "GENIUS Act," has passed in the Senate. Tether's CEO Paolo Ardoino mentioned in an interview with Bloomberg TV last Friday (5/23) the impact of this law on Tether and Tether's plans for the future.

( The U.S. "GENIUS Act" comprehensively regulates payment-type stablecoins: issuance thresholds, reserve standards, and regulatory systems all understood at once )

Tether closely monitors the compliance of the GENIUS Act

Ardoino stated: "It is very important for us to understand how the GENIUS Act distinguishes between foreign issuers and domestic issuers. We are examining the GENIUS Act in a way that allows us to comply with regulations while still focusing on the foreign market."

Ardoino emphasized that Tether's primary market remains the 3 billion people in developing countries who do not have bank accounts and do not use the banking system. However, they are seeking to issue stablecoins in a way that serves the important market in the United States.

The stablecoin bill in the House of Representatives and the Senate requires that stablecoins be fully backed by "safe assets" such as cash and short-term government bonds, and mandates that issuers comply with the Bank Secrecy Act and anti-money laundering regulations.

"Stablecoins are definitely important in the US, but in reality, in the US, you can make payments through various methods such as PayPal, debit cards, credit cards, and cash," Ardoino said.

Although Tether does not currently provide services to U.S. customers, the majority of the company's reserve assets comply with proposed legislation in the United States. The company also uses prohibited assets such as Bitcoin and collateralized loans to support its tokens. Due to its scale, if Tether chooses to apply for a U.S. license under such rules, it will be subject to federal-level regulation.

Ardoino criticizes the MiCA bill, stating that Europe is lagging behind the United States.

Ardoino also mentioned the MiCA legislation in Europe during the interview. He feels that the requirement for stablecoin issuers to place most of their assets in bank deposits is an unfavorable condition, and he referenced the previous bank run at Silicon Valley Bank. However, the "GENIUS Act" allows stablecoin issuers to hold their assets in a more diversified range of products such as U.S. Treasury bills and money market funds, which is what Tether is currently doing.

(USDT's market value has shrunk due to the effectiveness of MiCA, and Tether chooses to invest rather than sacrifice earnings to indirectly participate in the EU market)

Tether has been cooperating with the FBI and the U.S. Department of Justice for many years, strictly implementing measures such as KYC, AML ( anti-money laundering ), and Ardoino believes that Tether has no issues in the U.S.!

Tether is actively promoting comprehensive transparent audits.

Tether appointed a new Chief Financial Officer, Simon McWilliams, in March. He has over 20 years of experience in investment management and financial auditing and will be responsible for driving Tether's ongoing commitment to transparency and regulatory readiness. This appointment is an important step for Tether in strengthening financial management and transparency.

Tether has currently undergone quarterly certification through BDO, one of the world's top five independent accounting firms, while its asset reserves are managed by Cantor Fitzgerald & Co., which was recently led by Trump's Secretary of Commerce Howard Lutnick (.

The more favorable regulatory environment in the United States has also propelled Tether towards reserve audits by the Big Four accounting firms, Ardoino stated that Tether is still in discussions with these companies. He mentioned, "A comprehensive audit is our top priority."

The bank is considering a joint issuance of stablecoins, is Tether worried?

Due to the critical role of stablecoins in the operation of the cryptocurrency market, the circulation scale of stablecoins has reached $248.9 billion. Last Friday, The Wall Street Journal reported that major banking consortiums, including JPMorgan Chase, Bank of America, Citigroup, and Wells Fargo, are exploring whether to jointly issue stablecoins.

Ardoino stated:

We are not concerned about competition from big banks because they will focus on the Western world. Our customer base consists of 3 billion people without bank accounts who have not used the banking system.

In this article, Ardoino discusses the stablecoin bill: Tether can comply, and developing countries remain the main market for USDT. It first appeared on ChainNews ABMedia.