Deep Dive
1. Bitcoin Integration via RGB (28 August 2025)
Overview: Tether integrated USDT with Bitcoin’s RGB protocol, enabling direct transfers on Bitcoin’s network. This leverages Bitcoin’s security while adding privacy and scalability via client-side validation.
The RGB protocol allows USDT to function natively on Bitcoin, bypassing traditional smart contract platforms. Users can hold BTC and USDT in the same wallet and conduct offline transactions.
What this means: This is bullish for USDT because it strengthens Bitcoin’s utility as a multi-asset network and positions USDT as a privacy-focused stablecoin. (Source)
2. Solana Cross-Chain Expansion (15 October 2025)
Overview: Tether launched USDT0 on Solana using LayerZero’s cross-chain tech, aggregating liquidity from Ethereum, Tron, and TON.
USDT0 avoids wrapped assets, offering faster settlement and lower fees. It’s fully backed by reserves, with a 0.03% transfer fee.
What this means: This is neutral for USDT because it broadens accessibility but faces competition from native stablecoins like USDC on Solana. (Source)
3. Legacy Blockchain Sunset (1 September 2025)
Overview: Tether ended USDT support on Omni, Bitcoin Cash SLP, Kusama, EOS, and Algorand, freezing remaining tokens.
These chains collectively held <$100M USDT, compared to $153B+ on Ethereum and Tron. The move aims to prioritize scalable, developer-active ecosystems.
What this means: This is neutral for USDT because it streamlines operations but risks fragmenting users on deprecated chains. (Source)
Conclusion
Tether is consolidating its infrastructure around high-utility chains (Bitcoin, Solana) while phasing out legacy systems. These updates emphasize scalability, privacy, and cross-chain liquidity. Will USDT’s Bitcoin integration catalyze broader adoption of Bitcoin-based DeFi?