‘Stablecoin multiverse’ begins: Tether CEO Paolo Ardoino

Paolo Ardoino, CEO of stablecoin issuer Tether, said the industry has just entered a new era, marked by an influx of stablecoin solutions from both private companies and governments.

In a March 27 X thread, Ardoino said the crypto industry just entered the “stablecoin multiverse” era, where multiple stablecoins are launching to meet growing global demand.

Source: Paolo Adroino

Not everyone agrees with the assessment

However, Slava Demchuk, CEO of crypto compliance firm AMLBot, told Cointelegraph that he disagrees “with the premise that there are hundreds of stablecoins launched by companies and governments.”

He said the claims are an exaggeration and highlighted that “launching a stablecoin is a complex and resource-intensive process,” made even more involved by the European Union’s Markets in Crypto-Assets Regulation (MiCA) framework:

“MiCA, for instance, imposes stringent requirements — particularly prudential ones such as capital reserves, liquidity buffers, and robust governance structures — that not all companies can easily meet. “

On the other hand, Demchuk noted that a growth in the number of stablecoins poses challenges and risks. He pointed out that regulatory differences across jurisdictions are an issue with MiCA providing clarity in the EU while the US market is still in debate, leading to a global “patchwork of rules.”

He warned that such inconsistency risks pushing companies to less regulated markets. The consequence of such an exodus would be that consumer protection efforts would be undermined.

Ardoino expects fast growth

In a subsequent X post, Ardoino claimed Tether currently counts 400 million users worldwide, adding that he expects that number to reach one billion soon. He attributes the quick growth to an approach different from that of players in traditional finance:

“We always focused on the adoption from the ground up, working in the streets, among other people, while traditional finance was watching at us from their ivory towers.“

Vasily Vidmanov, the chief operating officer of decentralized finance compliance protocol PureFi, told Cointelegraph that Ardoino’s forecast “is interesting but not entirely realistic.” He cited “the recent delisting of USDT in the EU,” noting that it “has shown that resisting regulation is futile — adaptation and new approaches to decentralization are necessary.“

The comments reference Tether’s USDt (USDT) being delisted for European Economic Area-based users of Binance, Crypto.com, Kraken and Coinbase. A Tether spokesperson told Cointelegraph that the firm found the actions disappointing.

Vidmanov explained that data concerning swaps between USDT and Circle’s competing USDC (USDC) “indicates a noticeable increase […] following the delisting.” He also raised concerns over the firm’s reputation and “ongoing investigations in the US related to sanctions compliance and Anti-Money Laundering.”

USDT/USDC swaps number. Source: Dune

US authorities are reportedly investigating third-party use of Tether’s stablecoins for criminal activities.

Ardoino already commented on those claims when they surfaced in late October 2024, calling the story “old noise.” Still, according to Vidmanov, with all those challenges, “achieving the projected figures within the next one to two years seems unlikely unless there are significant shifts in global policy and a substantial influx of new users from underpenetrated crypto markets.”

Tether and Paolo Ardoino had not responded to Cointelegraph’s inquiry by publication time.

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