Paolo Ardoino, CEO of Tether, acknowledged at present that USDT stablecoin adoption in creating nations successfully creates a decentralized marketplace for US debt, positioning on a regular basis folks as oblique purchasers of American treasuries via Tether’s reserves.
Talking on the Bitcoin Coverage Institute, Bitcoin for America occasion, Ardoino highlighted Tether’s important position in sustaining US greenback dominance globally whereas concurrently warning about BRICS nations’ potential problem to this supremacy via gold accumulation.
The CEO described USDT as serving a brief “bridge” perform in rising markets the place folks want entry to the US greenback for financial savings.
Ardoino warned that BRICS nations are actively looking for their “Deepseek moment” in opposition to greenback hegemony, referencing how a small Chinese language firm introduced Deepseek R1 shortly after the US introduced a $500 billion AI funding. In line with Ardoino, this problem will seemingly emerge via a gold-backed forex initiative.
Nonetheless, Ardoino has additionally stated that he believes Bitcoin will finally exchange the greenback regardless, which is why Tether invests earnings in Bitcoin infrastructure improvement.
“In the long run, I don’t consider there’s a future for USDT; I count on a monetary reset, the place all nationwide currencies will collapse and expertise hyperinflation. Consequently, USDT can be utterly ineffective, and at that time, I consider the world will solely use Bitcoin,” Ardoino stated.
But, with out USDT selling the greenback globally and giving entry to creating nations, the BRICS nations will finish the greenback hegemony.
Current knowledge helps Ardoino’s issues about BRICS gold accumulation. The bloc now holds over 20% of worldwide gold reserves, with Russia (2,340 tonnes) and China (2,260 tonnes) main the alliance’s holdings. Central banks globally have maintained sturdy gold buying patterns into 2025, with the Individuals’s Financial institution of China including 5 tonnes in January alone, marking its third consecutive month of internet shopping for.
Gold costs responded to this sustained demand, surging from $2,000 per ounce in early 2024 to just about $2,800 by December earlier than falling to round $2,200 amid the worldwide commerce battle with the US. Projections counsel the worth may attain $3,100 by the top of 2025.
Jim Rickards, talking on the New Orleans Funding Convention, outlined how a possible BRICS gold-backed forex would possibly perform: “If a BRICS forex unit is price 1 ounce of gold and the gold worth goes to US$3,000 per ounce, the BRICS forex unit can be price US$3,000, whereas the greenback would lose worth in comparison with the BRICS forex as measured by the burden of gold”.
In the meantime, Tether continues increasing its international footprint. Ardoino notes that USDT has surpassed 400 million customers worldwide, including roughly 35 million new wallets every quarter. This progress is especially pronounced in creating areas with restricted banking entry, the place USDT offers another monetary infrastructure.
The Tether CEO maintains that regardless of criticism from opponents, USDT performs a vital position in supporting greenback dominance whereas offering important monetary providers to underbanked populations.
Nonetheless, his long-term prediction suggests this association could finally give solution to a Bitcoin-dominated monetary system following what he describes as an inevitable collapse of fiat currencies.