USDT0: The Next Step in Tether’s Evolution
Tether continues to lead. With the launch of USDT0, Tether once again sets the tone for who is king. This latest release is another product from the "Tether Studio" that enhances accessibility, speed, and utility. It strengthens Tether’s dominance while offering a clear edge over Circle's USDC. No matter how “fancy” their growth has been this last period.
What is USDT0?
USDT0 ensures fast, secure, and cost-efficient cross-chain transfers. It works seamlessly across multiple blockchains. It’s always backed 1:1 with USDT, giving users confidence in its stability. This innovation makes it easier to move value, bridging the gap between blockchains without friction or high fees.
USDT0 is Tether's way of making crypto’s promise of borderless finance even more real. With this new tool, Tether is accelerating itself into mass adoption and inclusion.
How Do USDT0 Tokens Work?
USDT0 runs on LayerZero’s OFT standard, directly tied to Tether redemptions on Ethereum. Here’s how it works, step by step:
First, USDT is locked in a smart contract on Ethereum Mainnet
The same amount of USDT0 is minted (and then issued) on the destination chain
LayerZero handles the process of users moving USDT0 across supported chains. So there’s no need to worry about liquidity. Unless, of course, you are a permafudder
USDT0 tokens can be redeemed for USDT. Once redeemed, the equivalent amount of USDT is unlocked on Ethereum
This whole process ensures that USDT0 always maintains its strict 1:1 backing with USDT.
Tether’s Legacy of Disruption
You already know that Tether is the largest and most trusted stablecoin in the world, with nearly $140 billion in circulation. For over a decade, it has reshaped economies and provided financial access to billions.
USDT and Tether’s leadership laid the foundation for crypto’s first global financial network. With USDT0, Tether is building the bridges to connect this network across blockchains. Maybe someone with more technical knowledge than myself can explain whether this is chain abstraction. Feel free to comment below. Grateful!
A Razor Sharp Edge Over USDC
As mentioned, USDT0 is another strategic move. Circle’s USDC focuses on institutions, but Tether is for everyone, not the few.
Tether’s innovations serve markets where stablecoins are critical tools, not just conveniences, and are a hedge against hyperinflation and megalomaniac Venezuelan dictators.
What makes USDT0 better?
It’s cost-effective as it lowers fees for cross-chain transfers
Makes for wide adoption as it is built for multi-chain use, ensuring flexibility
It’s reliable because it’s always backed 1:1 with USDT on Ethereum
While USDC plays catch-up, Tether keeps creating new solutions that solve real-world problems.
Your USDT, Anywhere
The tagline says it all: “Your USDT, Anywhere.” USDT0 allows users to access their stablecoins anywhere, across chains, without hassle.
It’s fast
It’s secure
It’s cost-efficient
It’s PMF poetry
Tether continues to annihilate boundaries, turning ideas into tools that shape the future of finance.
The Tether Studio Effect
“Paolo and frens” have created The Tether Studio. With each product, Tether proves it’s more than a company. From USDT to EuroTether and now USDT0, it’s non-negotiable who is truly buidling the future of stable assets.
All that being said, USDT0 is coming to a chain near you. And when it does, you’ll remember this post and tell three friends to follow.
I love stablecoins, Tether in particular, and I will be writing about the ongoing and ever-increasing future stablecoin war. Stay tuned for insights, drama, and analysis as it all unfolds.
P.S. In case you didn’t realize, I am not Patrick Hansen.