Tether, the company behind the world’s leading stablecoin USDT, has announced its arrival on the Celo blockchain. This strategic partnership brings USDT to an Ethereum Virtual Machine (EVM)-compatible layer-1 network renowned for its fast and affordable transactions. This move not only expands Tether’s blockchain presence but also paves the way for groundbreaking advancements in microtransactions.
Slashing Fees, Boosting Microtransactions
The integration of USDT on Celo offers a significant advantage: transaction costs hovering around a mere $0.001. This dramatic reduction in fees opens doors for a wider range of microtransactions, a critical factor for everyday use and financial inclusion. By leveraging Celo’s infrastructure, designed from the ground up for speed and cost-effectiveness, Tether aims to extend USDT’s utility beyond conventional transactions. This could revolutionize digital payments and remittance services.
Celo’s commitment to low gas fees, coupled with EVM compatibility, ensures that its operations remain unaffected by Ethereum’s often-volatile fee structure. This focus on affordability and accessibility aligns perfectly with Celo’s mission of promoting global financial prosperity through blockchain technology.
Enhancing Celo’s Stablecoin Ecosystem
The arrival of USDT further enriches the range of stable assets available on Celo. This already includes unique offerings like Mento’s eXOF and cREAL, pegged to the CFA franc and Brazilian real respectively. These diverse stablecoins cater to various use cases like remittances, savings, lending, and cross-border payments, solidifying Celo’s position as a powerhouse for both stablecoins and real-world assets.
Rene Reinsberg, Celo co-founder, enthusiastically welcomed the collaboration, highlighting the shared goal of creating an inclusive financial system. The integration is expected to streamline payments and broaden the spectrum of stablecoin applications accessible to users worldwide.
Also Read: Tether CEO Predicts Surge in Bitcoin Adoption by Funds Following Spot ETF Launch
Tether’s Ongoing Blockchain Expansion
Tether’s launch on Celo underscores its continuous effort to establish a presence on diverse blockchains. USDT already enjoys widespread adoption on platforms like Tron, Ethereum, Solana, and Avalanche. Celo’s inclusion fuels Tether’s mission to make its stablecoin a versatile tool across various ecosystems. This approach enhances USDT’s flexibility and utility while contributing to a more robust and decentralized stablecoin market.
Tether remains dedicated to exploring avenues to reduce transaction costs and improve speeds across its supported networks. The partnership with Celo exemplifies its proactive approach in addressing evolving cryptocurrency needs, with a particular focus on solving the critical challenge of establishing fast and low-cost digital payment systems.
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