Market concerns over stablecoin regulation significantly impact Tether (USDT), the leading stablecoin. Fears stem from potential U.S. and global rules, like the GENIUS Act, targeting transparency and compliance for coins with over $10 billion in market cap—USDT’s is $143 billion. X posts suggest USDT’s non-compliance with frameworks like MiCA in the EU and emerging U.S. bills could favor rivals like USDC. Web analyses highlight Tether’s opacity on reserves and past fines (e.g., $41M by CFTC), raising systemic risk fears if it falters, given its 60% stablecoin dominance. Volatility spiked with a 1% market cap drop in early 2025 amid EU delistings. Yet, Tether’s CEO asserts strong equity mitigates risks, though regulatory pressure may force reserve adjustments, potentially unsettling crypto markets.