Tether & Oobit Launch Digital Dollar Assault on US Payments Market, Targeting PayPal and Stripe

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In a major move to dominate the American digital payments landscape, Tether’s new US-regulated stablecoin, USA₮, is now live for everyday spending. The Tether-backed mobile payment app Oobit has announced full integration of the asset, enabling millions of US consumers to instantly spend crypto at any merchant that accepts Visa.

The partnership, announced today, marks a pivotal step in Tether’s strategic push to transform US commerce. It directly pits the crypto giant against established payment titans like PayPal and Stripe by combining regulatory compliance with existing, ubiquitous Visa infrastructure.

Seamless Spending, Zero Merchant Friction

USA₮, launched in November, is the first stablecoin engineered for compliance with the federal US Genius Act. Through Oobit’s app, users can now send USA₮ peer-to-peer or use it to “Tap & Pay” at over 100 million physical and online Visa merchants globally.

Crucially, the system requires no integration from merchants. A partnership between Tether America—a joint venture with regulated crypto bank Anchorage Digital—and Oobit ensures that when a customer pays with USA₮, the merchant receives immediate settlement in US dollars directly into their bank account.

“The Digital Dollar is only real when you can buy something with it,” said Amram Adar, CEO of Oobit. “Tether delivered the regulatory foundation with USA₮. We deliver the moment of use. This is the final piece that turns stablecoins into everyday money in the United States.“

A Formidable Challenge to Payment Incumbents

Tether CEO Paolo Ardoino has consistently framed the US as a massive growth opportunity. With USA₮, the company aims to leverage its existing user base of millions of Americans familiar with its flagship USDT to capture market share from traditional payment providers.

Oobit’s Rapid US Expansion

The USA₮ integration accelerates Oobit’s aggressive US rollout, which began earlier this month in partnership with the regulated infrastructure of publicly-traded firm Bakkt. This provides Oobit with compliant coverage across all 50 states. The app also supports USDT for settlements and allows users to spend directly from third-party wallets like MetaMask without surrendering custody.