Bo Hines: “Tether to Rank Among Top 10 Buyers of U.S. T-bills This Year”

A forecast has emerged that Tether will join the top 10 buyers in the U.S. Treasury bill (T-bill) market this year. The explanation is that an expansion in stablecoin issuance, coupled with regulatory compliance efforts, will further increase its Treasury holdings.

According to Cryptopolitan on the 11th (local time), Bo Hines, head of Tether’s U.S. entity and a former White House digital assets adviser, said at the “Bitcoin Investor Week” event in New York that “Tether is expected to become one of the top 10 buyers of U.S. Treasuries globally this year.”

Hines said, “Stablecoin firms are increasingly taking a more active role in traditional financial markets—especially in purchasing U.S. government debt,” adding, “Tether’s pace of Treasury purchases is rising rapidly, and this growth trend will continue.”

Tether’s latest financial disclosure shows that about 83.11% of its reserve assets are composed of U.S. Treasury bills, totaling more than $122 billion. That places it at a level comparable to the world’s top 20 holders of U.S. Treasuries. Although Tether is a private company, its holdings are on a scale similar to some countries.

Circulating supply of the leading stablecoin USDT stands at roughly $185 billion. Hines explained that “USDT has about 530 million users worldwide, with around 30 million new users coming in each quarter.” The analysis is that as issuance increases, demand for Treasuries to back it will inevitably expand as well.

Tether has also recently launched a new stablecoin, USAT, tailored to U.S. regulation. Under the GENIUS Act, USAT must maintain full 1-to-1 backing with highly liquid assets. Hines said, “We are adjusting reserve assets to align with the GENIUS Act framework, and expanding Treasury holdings is part of that.”