Tether has announced the launch of USDT on the Bitcoin network using the RGB protocol. The rollout is expected in the coming weeks, and users will be able to send the stablecoin through both standard Bitcoin addresses and the Lightning Network. The commercial deployment of the project is being handled by UTEXO with support from Tether.
Bitcoin will once again be one of the networks that supports USDT, more than a decade after the stablecoin was first launched on Omni Layer. Since then, most USDT transaction volume has shifted to other blockchains, primarily Tron.
New Opportunities
The developers expect users to be able to send USDT almost instantly while maintaining a higher level of privacy. They plan to achieve this by combining the features of RGB with the Lightning Network, where most transactions take place off the main blockchain and do not leave a complete public record of transfers.
Another goal of the project is to reduce the cost of exchanging USDT for BTC. According to the company, using both assets within the same network will eliminate the need for extra fees and remove the requirement to pay transaction costs with third-party tokens.
Competition With Tron
Despite launching on the Bitcoin network, USDT will remain a centralized asset managed by Tether. Only the infrastructure used to process transfers will change.
UTEXO believes that bringing USDT back to the Bitcoin ecosystem will offer an alternative to the networks that currently dominate stablecoin payments. If the rollout goes according to plan, users will have another option for sending USDT while benefiting from Bitcoin's security and Lightning payment channels.
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