Artificial intelligence and crypto often feel like they’re racing down separate tracks, both moving incredibly fast. But what if those tracks started to merge? Tether, the company behind the most-used stablecoin on the planet, seems determined to find out. They’re building an AI platform that’s not just about smarts—it’s reportedly being designed to handle payments directly using Bitcoin and their own USDT stablecoin.
It’s a pretty fascinating pivot for a company mostly known for its digital dollar. As AI keeps changing the game across different industries, plugging practical cryptocurrency payment options right into AI tools could open up totally new possibilities and maybe help crypto become a more normal part of our digital lives.
USDT Still King Despite EU Exchange Headaches
Before we get into the AI side, it’s worth remembering just how dominant Tether’s USDT still is. Checking the price data on Binance as of May 8, 2025, USDT boasts a massive market cap of around $149.42 billion, with nearly $60 billion changing hands in just 24 hours. Its closest rival, USDC, has less than half that market cap ($61.75 billion) and sees way less trading volume ($8.25 billion).
What’s really telling is that USDT has held onto its top spot even while facing some serious regulatory hurdles, especially over in Europe.
The EU’s new MiCA rules have forced exchanges there to start dropping stablecoins that don’t meet strict new standards by the end of Q1 2025. Major exchanges like Binance have removed USDT from their European spot trading pairs, and others like Kraken have also removed it or limited its use. Still, USDT’s global adoption remains huge, showing just how deeply embedded it is in markets outside the EU, likely finding ways to keep flowing through different platforms or trade types.
Inside Tether’s AI Vision: Crypto Payments Included
While dealing with those regulatory shifts, Tether is clearly not just sitting back. The stablecoin issuer is expanding its horizons significantly, making a big play in artificial intelligence through a new division called Tether Data, which the company announced back in April 2024. This part of the firm is all about investing strategically in AI and peer-to-peer tech.
The star of this new direction seems to be the upcoming Tether AI platform. CEO Paolo Ardoino gave a sneak peek recently, calling it a platform for “personal infinite intelligence.” But here’s the kicker: Ardoino specifically mentioned that this AI platform will let users pay directly with both USDT and Bitcoin (BTC). He made a point of saying this wouldn’t rely on the usual API keys or centralized control points that most systems use.
Instead, the idea is to build Tether AI on a “fully open-source AI runtime” that operates over an “unstoppable peer-to-peer network.” Ardoino also talked up its “fully modular and composable” design, meaning it should be flexible enough to run on pretty much “any hardware and device.” It sounds like they’re really leaning into the decentralization and user-control ethos that crypto is known for.
So, how would the payments actually work? Ardoino connected it to Tether’s Wallet Development Kit (WDK), which the company released back in November 2024. The WDK is basically an open-source toolbox that helps developers build self-custody wallets (where you hold the keys, not a third party) for USDT and Bitcoin right into their apps or websites. By weaving this WDK into Tether AI, the platform aims to let users make peer-to-peer crypto payments directly, keeping full control over their funds.
This AI-plus-payments platform isn’t the only thing Tether’s cooking up in the AI space. Earlier this year, Ardoino revealed his team was also developing AI apps, like an AI translator, a voice assistant, and even an assistant specifically for managing a Bitcoin wallet. A demo apparently showed someone using a chatbot to check their BTC balance and send funds, all handled by the artificial intelligence. Privacy and self-custody were highlighted as key features for these apps, too.
Ardoino didn’t shy away from big ambitions, even referencing the legendary sci-fi writer Isaac Asimov. He suggested Tether AI is trying to lay the tech groundwork for the kind of AI Asimov envisioned, saying he believes artificial intelligence will eventually become part of “the very fabric of the universe.”
Tether’s Next Move: Blending AI and Crypto Utility
It’s clear that Tether’s foray into AI, especially linking it directly with self-custodial crypto payments, represents a major step beyond its stablecoin roots. Even as USDT holds its ground in the global market despite regulatory pressures elsewhere, the company is clearly looking to build new kinds of infrastructure.
By creating open-source tools like the WDK and designing AI applications that can use BTC and USDT directly for P2P transactions, Tether seems to be positioning itself as more than just a stablecoin issuer. It aims to be a broader tech company that mixes AI smarts with the practical usefulness of crypto payments. It’s a bold play that could create entirely new ways for people—and maybe even AIs—to interact and exchange value in the increasingly digital world ahead.