Key Takeaways
- Tether is relocating its headquarters to El Salvador.
- The company's stablecoin USDT makes up two-thirds of the $212 billion stablecoin market.
- El Salvador aims to become a hub for Bitcoin and digital asset trading.
Tether, the issuer of the world’s largest stablecoin (USDT), is relocating its headquarters to El Salvador.
This marks the first physical HQ for the company, which was previously incorporated in the British Virgin Islands.
CEO Paolo Ardoino and the company’s co-founders are also moving to the country, aligning with El Salvador’s push to establish itself as a hub for Bitcoin and digital asset trading.
Tether ♥️ 🇸🇻
— Paolo Ardoino 🤖🍐 (@paoloardoino) January 13, 2025
Very excited for Tether group relocating in El Salvador.
El Salvador is the beacon of freedom and @nayibbukele is an inspiring leader driving the country with love, passion and intelligence.
Seguimos 🦾 https://t.co/42Y83ryEaE
El Salvador, led by President Nayib Bukele, was the first country to adopt Bitcoin as legal tender.
The move follows Tether securing a digital asset service provider license there.
Ardoino told Reuters:
This move to El Salvador will be the first time we’re going to have also a physical headquarters.
The company’s workforce of over 100 employees will maintain its distributed structure, with most staff continuing to work remotely worldwide.
Navigating regulatory concerns
Tether’s relocation occurs amid global scrutiny of the stablecoin market, which has surged 45% in the past year to reach $212 billion in circulation.
USDT alone accounts for two-thirds of that total.
Regulators worry about the risks stablecoins pose to financial systems due to their role as a bridge between crypto and traditional markets.
To address concerns, Tether has increased monitoring of token usage to combat illicit finance and disclosed that most of its reserves are held in U.S. Treasury Bills via Cantor Fitzgerald.
