Key Highlights
- USDT0, Tether’s cross-chain version of USDT, is now live on the Stellar network through LayerZero’s Omnichain Fungible Token (OFT) standard.
- The integration gives Stellar access to more than $180 billion in USDT liquidity across supported blockchain networks.
- USDT0 uses a unified supply model backed 1:1 by USDT, eliminating the need for traditional wrapped tokens or intermediary bridges.
USDT0, the cross-chain version of Tether’s USDT stablecoin, is now live on the Stellar network. The deployment gives Stellar access to more than $180 billion in USDT liquidity through the LayerZero Omnichain Fungible Token (OFT) standard.
The integration was announced by USDT0 and confirmed in a post from the Stellar network on September 2. LayerZero, the messaging protocol behind the OFT standard, stated that its endpoint is live on Stellar and that USDT0 is the first asset deployed on it.
How the integration works
According to a blog post by LayerZero, USDT0 maintains a single unified supply that is backed 1:1 by USDT. Unlike traditional bridged or wrapped tokens, the asset is issued directly within Stellar’s asset model while remaining connected to the same liquidity pool used across other LayerZero-supported blockchains. USDT0 has transferred more than $100 billion in value across LayerZero rails to date.
Stellar processes transactions in approximately five seconds and charges less than one-tenth of a cent per transaction. The network supports cash-to-crypto ramps in more than 170 countries. According to USDT0, 10,000 transactions on Stellar cost less than a single traditional wire transfer.
Context on USDT and Stellar
The LayerZero blog further explains that USDT is widely used in markets across Latin America, Africa, and the Asia-Pacific region. Stellar has focused on cross-border payments, aid distribution, and consumer financial services in many of the same areas. The new deployment allows users on Stellar to hold, send, and receive USDT0 without relying on custodial bridges or fragmented supplies.
For exchanges, the integration enables deposits, transfers, and withdrawals of USDT0 that settle in seconds at low cost. Wallets and fintech applications can offer the asset to users in regions where USDT is already common. Payment service providers and enterprises can manage USDT0 alongside other stablecoins such as USDC and EURC within a single treasury setup on Stellar.
Prior USDT0 expansions
USDT0 previously expanded support on other networks. In May, the cryptocurrency exchange Gemini added deposit and withdrawal functionality for USDT0. At that time, the stablecoin was available on Arbitrum, Avalanche, Ethereum, Solana, and Tron, subject to user jurisdiction. The Gemini integration allowed users in supported regions to move USDT0 without separate bridging steps between chains.
LayerZero noted that the OFT standard removes the need for intermediary bridges or wrapped assets for developers. Asset issuers retain control over customization and ongoing operations while simplifying treasury management and payment flows.
The Stellar deployment marks the latest step in connecting USDT liquidity to additional blockchain networks through a unified supply model.
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