Stablecoin Tether (USDT) arrives on Polkadot (DOT) and Kusama (KSM)

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Stablecoin Tether (USDT) arrives on Polkadot (DOT) and Kusama (KSM)

Tether will integrate its USDT stablecoin in Polkadot (DOT) and its cousin network Kusama (KSM). This development will boost USDT whose market capitalization is around $43 billion.

Tether arrives on Polkadot and Kusama

Tether has announced that it will launch its USDT stablecoin on Polkadot (DOT) and Kusama (KSM). Tether is one of the oldest stablecoins on the market and has a market capitalization of $ 43 billion. Although the state of its reserves has raised concerns in the past, the company recently committed to performing periodic audits of its reserves.

Paolo Ardoino, Technical Director of Tether, said: “We are excited to launch USDT on Polkadot, providing its growing and vibrant community with access to the most liquid stablecoin on the market. “

Tether is already present on seven blockchains, namely Bitcoin (BTC), Ethereum (ETH), Tron (TRX), EOS, Solana (SOL), and Bitcoin Cash (BCH). Tether also supports a number of Tier 2 solutions, such as zkRollups and Liquid Network.

No launch date for now

The launch schedule is not yet determined, as the deployment of parachains from Polkadot and Kusama are underway. Parachains are individual blockchains that operate in parallel in the ecosystems of Polkadot and Kusama.

They can interact with each other, but also with external networks such as Ethereum, using bridges. This flexibility helps solve the scalability, security, and interoperability issues of blockchains.

Paolo Ardoino, Technical Director of Tether, said: “Tether will probably be launched on the first available parachain, StateMint. Additionally, we expect StateMint to be the first commons parachain. “

Parachains of “commons” are a recent proposal within the Polkadot network to provide neutral ground for building critical functionality for the network. Most “classic” parachains are launched by external developers with features that can overlap or even compete with each other.

Thus, Tether will be deployed initially on Kusama, which will also launch parachains in a few weeks. Paolo Ardoino explained: “Kusama would theoretically allow us to start experimenting with Tether support on parachains even before StateMint is officially live.”