Tether USAT jumps 540% but trails rivals

Tether’s US-focused stablecoin USAT expanded more than sixfold in April, with circulating supply climbing to $140.8 million from $22 million a month earlier, according to the token’s latest reserve report.

Reserve assets backing the stablecoin increased to $141.2 million from $22.2 million over the same period, reflecting a 540% monthly growth rate as institutional adoption accelerated.

“The broader policy environment is moving in the right direction, and USAT is already operating in the kind of structure that institutions are asking for,”

Said Tether USAT Chief Executive Officer, Bo Hines.

Hines said the growth was driven by increased use of the token across institutional treasury operations, settlement flows and regulated dollar liquidity management.

USAT was launched in January and is issued by Anchorage Digital, a federally chartered crypto bank that partnered with Tether to expand its presence in the United States following the introduction of the GENIUS Act stablecoin framework.

Despite the rapid growth, USAT remains far smaller than major competitors targeting the US market, including Circle’s USDC with a market capitalisation of roughly $76 billion, PayPal’s PYUSD at approximately $5.5 billion and Ripple’s RLUSD at around $1.7 billion.

Tether’s flagship stablecoin USDT continues to dominate the global dollar-backed stablecoin market with a market capitalisation approaching $189 billion, while USAT’s future growth will depend on whether it can attract a larger share of the expanding institutional stablecoin sector.