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Nearly half of Tether's USDT circulates on Tron, outside US regulatory reach, raising enforcement concerns.

Market News
17 Jun 2026
Forbes
View Source
Bearish
Nearly half of Tether's USDT circulates on Tron, outside US regulatory reach, raising enforcement concerns.

Close to half of Tether's $180 billion USDT supply, about $89 billion, circulates on the Tron network, which has no US regulatory oversight. This network is popular in emerging markets due to low fees and fast transfers. While Tether's reserves are heavily backed by US Treasury assets, the operational use of USDT on Tron creates enforcement challenges for US regulators. Efforts like the GENIUS Act target US issuers but do not cover offshore networks like Tron. Tether is developing its own settlement layer to reduce reliance on Tron, but user migration may be slow because of Tron’s deep liquidity and low costs. This situation leaves a significant portion of global dollar transactions outside US supervision.

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