Tether Relaunches $184 Billion Stablecoin on Bitcoin
Tether is bringing its $184 billion stablecoin, USDT, back to the Bitcoin network after a 12-year absence. The relaunch, set for October 2026, marks a return to the oldest blockchain. The move raises questions about whether Bitcoin will regain its role as a payments network, but its benefits for holders and miners are uncertain.
Neutral
Tether's USDT stablecoin will operate on Bitcoin using the RGB protocol, which keeps most transaction data off the main chain. This may limit fee revenue for miners. The relaunch is a significant development in the cryptocurrency space, but its impact on Bitcoin's role as a payments network remains to be seen.
Positive
The integration of USDT with Bitcoin's Lightning Network could enable faster and more private transactions. This move may also benefit users who want to exchange BTC for USDT or take out Bitcoin-backed loans. Tether's return to Bitcoin could revitalize the network's use as a payments system.
Negative
The relaunch may not benefit Bitcoin holders, as a USDT balance on the network offers no exposure to Bitcoin's price fluctuations. The lack of support from major exchanges for Bitcoin-based USDT is also a concern. The impact of the RGB protocol on miners' fee revenue is also a question mark.
- Tether's $184 billion stablecoin, USDT, is returning to the Bitcoin network after 12 years.
- The relaunch will use the RGB protocol to keep most transaction data off the main chain.
- The move raises questions about whether Bitcoin will regain its role as a payments network.
- Yahoo FinanceTether Brings Its $184 Billion Stablecoin Back to Bitcoin: Will BTC Regain Its Role as a Payments Network?
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