"Omnichain Gold and USD Stablecoins Ride Polygon's Interoperability Wave"

USDT0 and XAUt0 stablecoins have expanded their blockchain footprint with their recent launch on the Polygon network, marking a strategic move to enhance cross-chain liquidity and interoperability. The stablecoins are part of a broader initiative by Everdawn Labs, the operator of USDT0, to build a unified liquidity framework. The integration of USDT0 and XAUt0 on Polygon is considered a milestone for XAUt0, as it becomes the second network to support the stablecoin after TON. For USDT0, Polygon is now its twelfth supported blockchain, reinforcing its role as an interoperability backbone for Tether USDt (USDT) across multiple chains [1].

The USDT0 and XAUt0 stablecoins differ from their Tether counterparts in their operational structure. Unlike USDT and XAUT (XAUT), which are backed by physical assets like cash and gold, USDT0 and XAUt0 are minted by depositing the respective Tether assets into an Ethereum-based contract. This approach allows for the creation of omnichain stablecoins that can be used across different blockchains without relying on direct asset backing. Lorenzo R, a co-founder of USDT0, explained in May 2025 that USDT0’s design enables users and blockchains to access USDT on the networks they prefer [1].

Since its January 2025 launch, USDT0 has experienced rapid growth, with its market capitalization reaching nearly $1.6 billion within two months. In contrast, XAUt0 has grown at a slower pace, with a market cap of just $2.5 million as of the latest available data. The decision to launch on Polygon was influenced by its strong ecosystem for stablecoin payments, decentralized finance (DeFi), and enterprise adoption. Lorenzo R highlighted that Polygon’s infrastructure, including its AggLayer and Bhilai Hardfork upgrades, creates an ideal environment for omnichain liquidity [1].

Polygon’s adoption of USDT0 and XAUt0 is expected to enhance the network’s utility for DeFi protocols, institutional-grade real-world asset (RWA) applications, and cross-chain payments. With over $1 billion in USDT liquidity and more than 6 million wallets, Polygon offers the scale and user base needed to position USDT0 as a standard for cross-chain transactions. Lorenzo R emphasized that the launch of both stablecoins on Polygon introduces “seamless stablecoin rails” and integrates native gold-backed liquidity into a widely used blockchain [1].

The move aligns with broader trends in the stablecoin market, where demand for interoperable and cross-chain solutions continues to grow. As of mid-August 2025, Tether’s USDT has surpassed $167 billion in market capitalization, while its gold-backed counterpart, XAUT, crossed the $1 billion mark for the first time. These developments highlight the increasing role of stablecoins in global digital finance and the need for scalable infrastructure to support their use [1].

Source: [1] USDT0 and XAUt0 stablecoins launch on Polygon network (https://cointelegraph.com/news/usdt0-xaut0-stablecoin-launch-polygon)