Tether Launches Stablechain Blockchain Powered by USDT for Faster, Cheaper Transactions

Tether’s USDT is now powering a new Layer 1 blockchain called Stable, marking the launch of the first-ever “Stablechain.” Announced, this blockchain is designed to enhance the stablecoin experience with faster, cheaper, and more reliable transactions. Unlike other blockchains, Stable uses USDT as its native gas and settlement token, aiming to eliminate unpredictable fees and slow settlement times. According to its team, Stable is built to simplify crypto for both users and institutions.

Stable provides sub-second block finality, complete EVM compatibility, and a special integration with USDT0, a decentralized form of USDT, which is driven by LayerZero. The network is even more efficient because transactions involving USDT0 have no gas. The chain also supports institutional features like guaranteed blockspace, batch transactions, and confidential transfers to meet compliance needs. Its native wallet includes social login, debit/credit card support, and easy-to-read wallet names.

Subsequently, Stable will deploy parallel transaction processing, enterprise tools, and developer SDKs to increase the growth of the ecosystem. The blockchain is backed by USDT0 and Bitfinex, which also led a $3.5 million round for Plasma, a sidechain also targeting USDT fee reduction. Tether CEO Paolo Ardoino has already shown support for the project, congratulating the team as it emerged from stealth mode.

This launch comes as lawmakers move closer to passing the GENIUS Act, which will regulate stablecoins, making this timing especially critical for the sector. The launch of Stablechain represents a strategic move by Tether to enhance the efficiency and reliability of stablecoin transactions. By creating a dedicated Layer 1 blockchain powered by USDT, Stablechain offers ultra-fast, low-fee payments, making it an attractive option for users seeking a more efficient and cost-effective stablecoin solution. The blockchain's support for EVM ensures compatibility with a wide range of decentralized applications (dApps), further expanding its utility and appeal.

Stablechain's features, including low-cost, fast settlement, and high-performance operations, make it a compelling choice for enterprises and individual users alike. The blockchain's ability to provide gas-free transfers is particularly noteworthy, as it addresses one of the key challenges faced by users of traditional Layer 1 blockchains. By eliminating the need for gas fees, Stablechain makes stablecoin transactions more accessible and affordable, potentially driving wider adoption of USDT and other stablecoins.

The launch of Stablechain is part of a broader trend in the cryptocurrency industry towards the development of purpose-built blockchains tailored to specific use cases. By focusing on stablecoin transactions, Stablechain differentiates itself from other Layer 1 blockchains and positions itself as a specialized solution for users seeking a more efficient and reliable stablecoin experience. The blockchain's support for EVM further enhances its versatility, making it a valuable addition to the growing ecosystem of decentralized finance (DeFi) applications.

In summary, the launch of Stablechain by Tether represents a significant development in the stablecoin landscape. By leveraging USDT as its native gas and offering ultra-fast, low-fee payments, Stablechain addresses key challenges faced by users of traditional Layer 1 blockchains. The blockchain's support for EVM and its focus on stablecoin transactions make it a compelling choice for enterprises and individual users seeking a more efficient and cost-effective stablecoin solution. As the cryptocurrency industry continues to evolve, the launch of Stablechain is likely to have a significant impact on the adoption and integration of stablecoins into the global economy.