Tether has launched USA₮, a new dollar-backed stablecoin designed specifically for the US market, in preparation for compliance with America’s new federal stablecoin law under the GENIUS Act.
The new token, announced on January 27th, was issued by Anchorage Digital Bank (NA), a federally chartered US bank. This is Tether’s first stablecoin built to operate entirely within the U.S. regulated financial system.
Stablecoin built to US law
USA₮ is structured to meet the payment stablecoin requirements of the GENIUS Act, including bank issuance, full reserve backing, and ongoing regulatory oversight.
Tether said the stablecoin is designed for use by U.S. institutions and platforms that require a federally regulated digital dollar. Cantor Fitzgerald will act as the Reserve Administrator and Preferred Primary Dealer, providing transparency into the Reserve from launch.
Initially, USA₮ will be available through platforms such as Kraken, Crypto.com, MoonPay, OKX, and Bybit.
Why Tether needed a new stablecoin
The launch follows regulatory pressure created by the GENIUS Act, which introduced the first national framework governing stablecoins offered to users in the United States.
Under the law, only stablecoins issued by federally or state-certified entities may be sold or distributed to U.S. persons.
Offshore issued tokens that do not meet these standards will face restrictions from US-regulated exchanges, banks, and payment providers.
This framework restricted the use of USDT, Tether’s flagship stablecoin.
The move puts Tether back in direct competition with Circle’s USDC, which has benefited from regulatory clarity and early collaboration with US institutions.
By issuing a bank-issued stablecoin, Tether will now be able to maintain USDT’s role as the dominant global dollar token while offering a regulated alternative coin to US institutions.
This dual structure allows Tether to protect its market position at both domestic and international levels.
