Tether Brings USDt to Bitcoin's Lightning Network
Tether Integrates USDt on Bitcoin's Lightning Network
Tether announced the integration of its USDt stablecoin with Bitcoin's Lightning Network at the Plan B Forum in El Salvador. This integration, facilitated by Lightning Labs' Taproot Assets protocol, combines Bitcoin's security with the speed of the Lightning Network.
Key Benefits of the Integration
- Faster Transactions: USDt transactions on the Lightning Network will be significantly faster than on Bitcoin's base layer.
- Enhanced Utility: This integration opens up new possibilities for USDt in remittances, cross-border payments, and emerging AI-driven economies.
- Improved Scalability: Leveraging Lightning Network's scalability, USDt can handle a larger volume of transactions.
Paolo Ardoino, Tether's CEO, stated, "Tether is committed to driving innovation within the Bitcoin ecosystem. Enabling USDt on the Lightning Network strengthens Bitcoin's core principles while offering practical solutions for financial applications demanding speed and reliability."
Elizabeth Stark, CEO of Lightning Labs, added, "Bringing USDt to Bitcoin merges Bitcoin's security and decentralization with Lightning's speed and scalability."
USDt's Growing Footprint
USDt, with a market cap of $140 billion (as of January 2025), already operates on over 80 blockchain networks. It boasts minimal transaction fees on networks like Tron and Solana (sub-cent fees).
This collaboration between Tether and Lightning Labs will continue focusing on further integration development to encourage adoption among developers and users, thereby broadening Bitcoin's use cases beyond simply a store of value.
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