Tether introduces USDT0 stablecoin for $700M expansion

Tether (CRYPTO:USDT) has launched a new cross-chain stablecoin named USDT0, aimed at enhancing interoperability for USDT transfers across various blockchains.  

The stablecoin is initially available on Kraken's Layer-2 network, Ink, with plans for expansion to other platforms such as Berachain and MegaETH in the near future.  

This launch comes on the heels of Tether's recent challenges, including significant regulatory changes in the EU that impacted its operations.  

Despite these hurdles, Tether has relocated to El Salvador and is moving forward with its new offerings.  

“USDT0 introduces a much needed solution for seamless USDT movement across ecosystems. By improving interoperability and reducing friction, it enhances the user experience in ways that align with the broader vision of Tether. It’s exciting to see this innovation emerge and tackle real market demand,” stated Paolo Ardoino, CEO of Tether.  

USDT0 is designed to facilitate institutional liquidity by providing a streamlined method for transferring USDT between blockchains.  

This initiative aims to drive growth within the decentralised finance (DeFi) sector.  

Marketed with the tagline “Your USDT, Anywhere,” USDT0 emphasises its focus on cross-chain capabilities.  

While USDT0 is currently operational on Ink, Tether has indicated that its initial expansion partners are actively developing functionalities for the new token.  

Among these partners are Berachain, which focuses on liquidity, and MegaETH, an Ethereum-based (CRYPTO:ETH) project.  

Tether's recent financial performance has been robust, with substantial profit increases reported at the end of 2024.  

This new stablecoin aligns with Tether's strategy for growth and innovation in 2025.  

The company recently bolstered its Bitcoin (CRYPTO:BTC) reserves by $700 million and made similar investments in decentralised platforms like Rumble. 

At the time of reporting, the Tether (USDT) price was $0.9998.