U.S.-focused stablecoin giant Tether’s digital dollar token USAT (USAT) grew more than six-fold month-over-month in April, but it still lags far behind its rivals.
According to the latest reserve report signed by Deloitte and released on Thursday, the circulating supply of the token reached $140.8 million as of April 30, up from $22 million in March and showing a growth of 540% in a month. Reserve assets backing the token increased to $141.2 million from $22.2 million in March, according to the report.
Bo Hines, CEO of Tether USAT, said this growth reflects “increased usage in institutional treasury operations, settlement flows and regulated dollar liquidity management.”
“The broader policy environment is moving in the right direction, and USAT is already operating in the type of structure that institutions are calling for,” he added.
The value of the stablecoin market has surpassed $300 billion, as the sector becomes increasingly integrated into global financial and payments circuits. The GENIUS Act, which created a federal framework for dollar-backed stablecoins, further cemented this trend, opening the door for banks, fintech companies, and crypto companies to offer regulated digital dollars in the United States.
USAT debuted in January and is issued by Anchorage Digital, the federally chartered crypto bank that Tether has partnered with to expand into the US market. Tether’s flagship stablecoin, USDT, remains the largest US dollar-pegged token in the world, with a market capitalization near $189 billion. USDT is regulated in El Salvador and is widely used in emerging markets for payments, savings and trading.
Despite last month’s strong growth, USAT still has a lot of catching up to do compared to its main competitors eyeing U.S. customers.
Circle’s USDC token has a market cap of around $76 billion, while issued by Paxos, amounts to approximately $5.5 billion. which debuted in December 2024, has reached approximately $1.7 billion.
