Tether’s USDT reached a new milestone on May 12, surpassing a $150 billion market capitalization for the first time. This achievement comes amid a broader wave of stablecoin adoption.

Over the past year, USDT’s circulating supply has grown by more than 36%, with a notable acceleration in growth since November, coinciding with the election of US President Donald Trump.

Currently, Tether holds a dominant 61% share of the global stablecoin market, according to data from CoinMarketCap.

Circle’s USDC ranks second, representing nearly 25% of the market.

As the largest stablecoin in circulation, Tether is often seen as a key indicator of cryptocurrency demand due to its essential role in providing liquidity and supporting trading activities across the digital asset ecosystem.

The broader shift towards digital fiat currencies is reflected in recent figures from Dune and Artemis, which show active stablecoin wallets increasing by over 50% in the past year — rising from 19.6 million to 30 million.

While Tether maintains a significant global presence, its use remains limited within the United States.

However, with the US now advancing pro-crypto legislation, Tether is preparing to launch a new dollar-backed stablecoin specifically for the domestic market later this year.

“A domestic stablecoin would be different from the international stablecoin,” Tether's CEO, Paolo Ardoino, reportedly said at the Token2049 conference in Dubai, United Arab Emirates.

CNBC reported that Tether is also intensifying its lobbying efforts in Washington as US lawmakers evaluate several stablecoin-related proposals.

Among them is the STABLE Act, introduced by House Financial Services Committee Chair French Hill and Digital Assets Subcommittee Chair Bryan Steil.

However, the STABLE Act has faced criticism. According to Cointelegraph, former Commodity Futures Trading Commission Chair Timothy Massad has argued that the legislation would fall short in addressing concerns around Tether’s operations.

During a February 11 hearing of the House Subcommittee on Digital Assets, Financial Technology, and Artificial Intelligence, Massad stated that the bill carries “far too much risk of weak state standards” and lacks “an adequate review process,” pointing out the absence of “ongoing federal supervision of state issuers.”

Sources:

https://cointelegraph.com/news/tether-market-cap-150-billion-first-time

https://www.cnbc.com/2025/05/02/crypto-tether-eyes-us-expansion-with-new-stablecoin-as-ceo-courts-washington.html

https://www.youtube.com/live/XLKGOdpJ10c

https://coinmarketcap.com/currencies/tether/