Tether Boosts U.S. Expansion with USA₮ Launch and $500B Funding Plan

Highlights:

• Paolo Ardoino said Tether is stepping up its U.S. expansion plans.
• He said Tether launched USA₮ and may seek funding at $500 billion.
• Ardoino pointed out that the company made over $10 billion and holds $122 billion in Treasuries.

Tether is increasing its presence in the United States as it plans a wider expansion. In a Bloomberg report on 13 March, Chief Executive Paolo Ardoino said the company has launched a new U.S.-focused stablecoin, USAT, and is also exploring fundraising that could value Tether at around $500 billion. That would place the firm among the most valuable private companies in the world.

Bloomberg: Tether is expanding its focus on the U.S. market and has launched a new stablecoin, USAT, while seeking fundraising that could value the company at around $500 billion, according to CEO Paolo Ardoino. Tether reported over $10 billion in profit in 2025 and holds about… pic.twitter.com/zSsMS7ZEE7

— Wu Blockchain (@WuBlockchain) March 13, 2026

USA₮ debuted on 27 January, as a federally regulated product under the new U.S. stablecoin framework. USA₮ is issued by Anchorage Digital Bank and is designed to serve institutions and platforms seeking a U.S.-focused digital dollar solution. Unlike USDT, which works globally, USAT follows U.S. regulations, supporting institutional adoption and smoother dealings with American financial authorities. Tether is also boosting lobbying in Washington to push for clearer stablecoin rules.

Strong Profits Back Tether’s Bigger Plans

Tether’s U.S. expansion is backed by its strong balance sheet. The firm reported very strong results for last year, earning over $10 billion in profit. Much of this came from interest on its reserves, CEO Paolo Ardoino said. The company holds about $122 billion in U.S. Treasuries. This makes Tether a top stablecoin issuer and a major private holder of government debt. These reserves give the firm stability and flexibility for future growth.

With this strong financial base, Tether is considering a fundraising that could value the company at around $500 billion. CEO Paolo Ardoino said the plan is still under review, but investor interest is high. If realised, this would make Tether one of the world’s most valuable private firms. 

Tether is expanding beyond stablecoins. The company invests in sectors like energy, artificial intelligence, and media. Its goal is to grow from a stablecoin issuer into a diversified financial powerhouse with multiple business areas. Tether’s investment portfolio now spans over 140 companies worldwide. This demonstrates the firm’s clear focus on future-focused industries and its intent to embed itself across emerging markets with high growth potential.

USDC Moves Ahead of USDT in Transaction Volume

The stablecoin market is seeing a shift. A report released Friday by Mizuho shows that Circle’s USDC has surpassed Tether’s USDT in transaction volume for the first time since 2019. So far in 2026, USDC has processed around $2.2 trillion in adjusted transactions. In comparison, USDT has recorded about $1.3 trillion during the same period. This gives USDC roughly 64% of the adjusted transaction volume, showing stronger activity compared to USDT this year.

Mizuho analysts Dan Dolev and Alexander Jenkins said the rise was driven by stronger USDC activity and wider use cases, including Polymarket and agentic commerce. However, USDT is still the biggest stablecoin by market value. Its market cap stands at about $143 billion, while USDC’s market cap is around $78 billion. After this stronger data, Mizuho raised its price target for Circle to $120 from $100. The bank said the stablecoin leader in the future may be decided by actual usage, not just market size.

🚨JUST IN: USDC FLIPS USDT IN TRADING VOLUME

Circle’s $USDC has overtaken Tether’s $USDT in trading volume for the first time since 2019.

USDC now holds 64% of adjusted stablecoin volume this year according to Mizuho Bank. pic.twitter.com/c81zDCY6ed

— Coin Bureau (@coinbureau) March 13, 2026