Tether Launches USDT0 on Bitcoin's Rootstock Sidechain

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Stablecoin omnichain USDT0 is natively integrated through LayerZero's OFT standard, supporting seamless movement between blockchains.

Tether has officially deployed USDT0, the omnichain version of the world's leading stablecoin, on Bitcoin's Rootstock sidechain. This integration allows USDT0 to operate natively on Rootstock through LayerZero's Omnichain Fungible Token (OFT) standard, marking an important step in expanding the DeFi ecosystem on the Bitcoin platform.

Rootstock combines Bitcoin's proof-of-work security mechanism through merged mining technology with Ethereum Virtual Machine (EVM) compatibility. Rootstock's infrastructure includes a two-way PowPeg bridge between Bitcoin and Rootstock, an average block creation time of 20-25 seconds, and the RIF service layer supporting cross-chain functions. Currently operating protocols on this platform include Sovryn, Tropykus, Midas, and Mynt, primarily supporting activities such as Bitcoin-collateralized lending.

According to the official announcement, the USDT0 deployment aims to allow this stablecoin to move natively between blockchains without external bridges or wrapped assets. The ultimate goal is to consolidate liquidity and reduce transaction friction for users and applications operating on Rootstock. Rootstock.io's Blog emphasizes: "USDT0 moves natively between blockchains and applications, eliminating fragmentation and promoting deeper liquidity on DEX platforms."

Enhancing Combinability for the DeFi Ecosystem

The addition of USDT0 brings the most popular USD-pegged asset into the Rootstock ecosystem, opening up new development opportunities. For developers, this provides higher combination potential for decentralized applications, while users can benefit from tighter transaction margins. Tether is currently the largest stablecoin by market capitalization, with a valuation of around $160 billion, confirming its dominant position in the stable digital asset field.

USDT0 is designed as the minimalist omnichain version of USDT, focusing on flexible and seamless movement between multiple networks. Beyond Rootstock, Tether has been integrated on nearly 100 blockchains in both native and bridged forms, demonstrating the company's comprehensive multi-chain strategy. USDT0 can be routed to Rootstock through a dedicated gateway, ensuring a smooth and highly secure user experience.

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Disclaimer: The content above is only the author's opinion which does not represent any position of Followin, and is not intended as, and shall not be understood or construed as, investment advice from Followin.
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