Tether integrates $140B USDT stablecoin into Bitcoin

Tether (CRYPTO:USDT) has announced the integration of its USDT stablecoin into the Bitcoin (CRYPTO:BTC) ecosystem, utilising the Lightning Network for enhanced transaction capabilities.

This development was unveiled on January 30 at the Plan B conference in San Salvador by Tether CEO Paolo Ardoino and Lightning Labs CEO Elizabeth Stark.

The integration leverages the Taproot Assets protocol, which allows for the issuance of tokenised assets on Bitcoin's base layer while facilitating transactions over the Lightning Network.

With a market capitalisation of approximately $140 billion, USDT is the largest stablecoin and serves as a bridge between traditional finance and digital assets.

Tether processed $10 trillion in transactions in 2024, positioning itself as a significant player in the cryptocurrency market.

“Millions of people will now be able to use the most open, secure blockchain to send dollars globally,” Stark stated, emphasising that this integration will enable merchants to accept USDT alongside Bitcoin.

The integration aims to provide practical solutions for remittances and payments, particularly in emerging markets where users often rely on stablecoins to hedge against local currency devaluation.

Additionally, this partnership is expected to enhance Bitcoin's utility by supporting micropayments and facilitating transactions between AI agents and autonomous vehicles.

As Tether moves forward with its integration into the Lightning Network, it is anticipated that this will open up new opportunities for developers and users alike.

At the time of reporting, the Tether (USDT) price was $0.999 and the Bitcoin (BTC) price was $104,229.