Tether to issue USDT on Bitcoin via RGB, enabling private, scalable Lightning transfers, expanding beyond Ethereum and Tron.
Tether, the issuer of USDT, has disclosed its intention to issue the stablecoin natively on the Bitcoin network. Introducing the Bitcoin USDT will enhance network liquidity and potentially increase the trading of the flagship cryptocurrency.
Tether Declares Intentions To Introduce Bitcoin USDT
USDT will be introduced on the Bitcoin network through RGB. According to a blog post from the stablecoin issuer, this protocol allows companies such as Tether to issue digital assets on the network. The premier crypto is now more than just a store of value, as the protocol has recently reached mainnet and allows native stablecoins to exist on Bitcoin.
Tether observed that the introduction of Bitcoin USDT enables users to conduct transactions directly on the world’s most secure and decentralized network. The stablecoin issuer had previously only minted USDT on other top layer-1 networks, including Ethereum, Solana, Tron, and TON.
This required investors to purchase the flagship crypto through a centralized exchange (CEX) or decentralized exchange (DEX) using the stablecoin on these other networks to invest in Bitcoin using USDT.
However, the direct introduction of the stablecoin on Bitcoin has simplified purchasing BTC directly on the network, potentially stimulating capital inflows and serving as a catalyst for a higher Bitcoin price.
Tether also stated that the launch of Bitcoin USDT will facilitate the exploration of a new financial frontier on the network. Users will now have the ability to store and transmit the stablecoin in the same wallet as their BTC. The stablecoin issuer further stated that the stability and security of Bitcoin are significant factors in the stablecoin’s status as a true native of the Bitcoin ecosystem.
Tether’s CEO Offers His Opinion on This Development
According to Paolo Ardoino, the CEO of Tether, Bitcoin requires a stablecoin that is “native, lightweight, private, and scalable.” He also noted that USDT has acquired a potent new pathway on Bitcoin with RGD, reinforcing their conviction that Bitcoin is the cornerstone of a more liberated financial future.
According to its Q2 report, Tether is one of the largest holders of Bitcoin, with 77,780 BTC on its balance sheet. This is a noteworthy fact. The company is also a majority proprietor in Twenty One Capital, which has the potential to become the third-largest public Bitcoin treasury company with 43,514 BTC when it goes public.
In the interim, the Bitcoin USDT is anticipated to assist Tether in further solidifying its position as the largest stablecoin issuer. USDT is the fourth-largest cryptocurrency and the largest stablecoin by market capitalization, following BTC, ETH, and XRP. Its market capitalization is $167 billion.
