The issuer of the most popular stablecoin on the market, Tether (USDT), has partnered with the team behind the Celo Layer 1 solution.
The stablecoin USDT will be launched on another network — Celo. The Tether team announced this in an official blog post.
Tether Token (USDT) to Launch on @Celo
Read more: https://t.co/KJ5emdMmXl pic.twitter.com/yTDkzKnhev
— Tether (@Tether_to) March 11, 2024
Benefits of the Tether-Celo Collaboration Currently, the USDT stablecoin is available on 16 networks, including Ethereum (ETH), Solana (SOL), and Polygon (MATIC). Soon, the asset will also be accessible on Celo. However, the exact launch date remains unknown.
According to the press release, USDT will be utilized on Celo as the currency for gas fees. Representatives state that this will streamline transactions and enhance the efficiency of decentralized applications (dApps) within the L1 network ecosystem.
“This integration aligns with our mission to create a digital economy that creates the conditions for prosperity for everyone. With Tether USDT soon available on Celo, users have even more options for fast, low-cost payments and access to robust stablecoin use cases that benefit everyday users around the world,” said Rene Reinsberg, Celo Co-Founder and Celo Foundation President.
The partnership will also increase USDT accessibility on mobile devices and in developing countries. The Celo blockchain primarily targets these regions. For example, the ecosystem includes a cryptocurrency wallet for residents of Kenya and Ghana, integrated into the Opera browser.
“At Tether, we are committed to providing accessible and reliable digital currency solutions to users worldwide. The integration of Tether USDT on the Celo platform, which is built for the real world, will represent a significant step forward in our mission. By leveraging the unique capabilities of Celo, we can further enhance the usability and accessibility of Tether for millions of people,” said Paolo Ardoino, CEO of Tether.
Tether’s Expansion Amid Criticism In mid-January, the issuer of the largest stablecoin applied to the Federal Intellectual Property Service to register four products. Tether plans to register trademarks ALLOY BY TETHER, AUSDT, TETHER ALLOY, and TETHER USDT in Russia.
Last week, it was revealed that the company had signed a memorandum of understanding with Uzbekistan. As part of the collaboration, the country’s authorities and Tether plan to develop the blockchain industry and even work on creating a digital version of the sum, the region’s national currency.
Meanwhile, JPMorgan analysts claim that the stablecoin issuer threatens the entire market. According to them, Tether does not fully comply with all regulations and lacks a high level of transparency. Unfavorable comments regarding USDT have also been voiced by the United Nations (UN).
