Tether enters the United States! USAT challenges the status of USDC, with the balance between regulation and privacy becoming the key to victory.

On September 12th, Tether, the world's largest stablecoin issuer, officially launched the compliance dollar-pegged Token USAT, designed specifically for the U.S. market, issued by Anchorage Digital Bank and with reserves managed by Cantor Fitzgerald. This move is seen as the core of Tether's "Hedging and Expansion" strategy, being a direct challenge to its competitor Circle, while also testing the delicate balance between regulatory Compliance and user privacy in the crypto world.

Tether's "Dual Track" Strategy

Tether CEO Paolo Ardoino announced the launch of USAT at an event in New York, emphasizing that the product will fully comply with U.S. regulations, targeting banks, fintech companies, and corporate clients.

USDT: Maintain its status as a global retail market offshore and without the need for compliance.

USAT: Entering the regulated US market, trading is transparent and traceable.

Colin Butler, the Global Market Director at Mega Matrix, described this as Tether's "Hedging and Expansion": maintaining the global coverage of USDT while opening up new Compliance channels.

Direct Impact on Circle

(Source: The Block)

Currently, the total supply of Tether's USDT has reached 170 billion dollars, far exceeding USDC's 73 billion dollars.

Circle has long positioned USDC as a "regulated alternative to USDT" and has a close relationship with Coinbase. However, the launch of USAT means that Tether can also compete positively in the compliance domain.

Dan Dolev, a senior analyst at Mizuho Securities, pointed out:

"This proves that the commoditization of USDC is higher than expected, which is a negative signal for Circle."

The Tug-of-War between Regulation and Privacy

USAT will operate on a regulated track, which means:

Access permissions are no longer fully open.

Transaction is fully transparent and traceable.

Comply with the federal guidelines of the GENIUS Act

This is a plus for traditional finance, but for the early pursuit of anonymity and borderless transactions in encryption, it is a concession.

Holonym project leader Daniel Brunsdon warned: "If regulation is excessive, stablecoins will become tools of the old financial system; if handled properly, they can become a globally trusted digital dollar."

The industrial landscape may welcome a "trifurcation"

Butler predicts that the stablecoin market will form a tri-polar structure:

USDT: Global Retail Anchor Point

USDC / USAT: US Compliance Main Force

USDe, Sky, USDH: Innovative Frontiers of Yield

This means that future competition will not be limited to issuance but will extend to distribution channels, upstream and downstream integration, financial workflows, and liquidity depth.

Why now?

Tether, after experiencing years of regulatory scrutiny and reputational controversies, has chosen to enter the U.S. market at this time for three main reasons:

Policy Window: The Trump administration's attitude towards cryptocurrency is relatively friendly.

Mature infrastructure: Anchorage Digital + Cantor Fitzgerald provide compliance and reserve guarantees.

Market Opportunity: Circle's growth slows down, while new players like Hyperliquid are diverting USDC trading volume.

Conclusion

Tether has launched USAT, which is not only a positive challenge to Circle but also a stress test for the balance between regulation and privacy in the entire stablecoin market. In the coming months, whether USAT can quickly gain market share within a compliance framework will determine Tether's foothold in the United States and will also influence the development direction of stablecoins globally.