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Tether to Launch USDT Directly on Bitcoin Using RGB Technology

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Highlights:

  • Tether is set to launch USDT directly on Bitcoin to improve liquidity and simplify trading for users.
  • The RGB protocol allows transactions directly on the Bitcoin network.
  • Tether has recently invested in a Spanish exchange to support crypto expansion.

Tether has announced its intention to roll out USDT on the Bitcoin network via the RGB protocol. The move enables users to make transactions on the Bitcoin blockchain without using other blockchains such as Ethereum, Solana, Tron, or TON. In the past, investors needed to purchase Bitcoin on these networks using USDT on any of the centralized or decentralized exchanges.

Tether plans to enhance liquidity and trading by introducing USDT on Bitcoin. Stablecoins can now be held and transferred alongside Bitcoin in the same wallet by investors. This trend can promote further inflows of capital and facilitate the trading of Bitcoin.

Transactions are also made easier and faster because of the integration. It allows users to access the network directly, which minimizes the use of intermediaries. These features might make Bitcoin more useful in daily digital payments.

RGB Protocol Expands Bitcoin’s Role as Tether to Launch USDT

The RGB protocol enables user-controlled, scalable, and private issuance, which provides more freedom to the USDT holders. Users can operate offline or online and keep complete control of their stablecoins and Bitcoin.

Tether’s CEO, Paolo Ardoino, said, “Bitcoin deserves a stablecoin that feels truly native, lightweight, private, and scalable. With RGB, USDT gains a powerful new pathway on Bitcoin, reinforcing our belief in Bitcoin as the foundation of a freer financial future.” The statement by the CEO elaborates on the strategic benefit of combining Bitcoin’s security with the USDT’s stability.

USDT on Bitcoin allows investors to keep both in one wallet. The integration enables more sophisticated transactions and decentralized applications as well. Incorporating stablecoins into Bitcoin strengthens the ecosystem and promotes wider adoption. Tether positions itself as a leader in expanding stablecoin utility across major blockchains.

The RGB protocol further allows Bitcoin to go beyond being a store of value. It opens up an avenue of financial innovation without compromising the security of the network. Users gain a smooth experience in the process of sending and receiving stablecoins. The rollout solidifies the relevance of Bitcoin in digital finance globally.

Market Context and Strategic Moves

Tether is spearheading a EUR30 million fundraising round to support Bit2Me’s expansion and has just acquired a minority ownership in the company. The funding will allow Bit2Me to broaden its market reach in Latin America and Europe. This investment is in line with the plan of Tether to empower blockchain ecosystems.

The liquidity of stablecoins is still on the increase, yet the inflows have decreased. According to CryptoQuant data, weekly capitalization growth decreased to approximately $1.1 billion. The 60-day growth of USDT is approximately 60 billion, which is lower than the previous peaks of over 21 billion. This trend reflects a moderating of capital flows but a positive expansion. Tether’s strategic actions, such as native Bitcoin USDT, show an interest in digital asset infrastructure support.

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