Tether is deploying USDT on the RGB protocol, creating a form of Bitcoin-native existence that bypasses bridges and wrapped assets and laying the foundation of what could redefine the chain’s utility beyond mere value storage.
Summary
- Tether is launching USDT on Bitcoin via the RGB protocol, enabling native transfers without bridges or wrapped tokens.
- The integration allows private, lightweight transactions, BTC–USDT wallets, and offline payments, positioning Bitcoin as more than digital gold.
- This marks a strategic pivot for Tether, leveraging Bitcoin’s security and scripting to reduce counterparty risk and test its role as a true settlement layer.
On August 28, USDT issuer Tether announced plans to launch its stablecoin on the RGB protocol, a newly deployed framework designed to extend Bitcoin’s capabilities beyond simple value storage.
The move will allow USDT to operate natively on Bitcoin, without relying on wrapped assets or external bridges, and comes just weeks after RGB’s 0.11.1 mainnet release. According to Tether, the integration will enable private, lightweight transfers, the ability to hold USDT alongside BTC in the same wallet, and even offline payment functionality.
Pivoting to Bitcoin’s core
This move is a deliberate strategic pivot for Tether, one that prioritizes Bitcoin’s foundational security over the convenience of other chains. While the company has deployed its stablecoin across a vast multi-chain universe, from Ethereum and Tron, which each hold over $80 billion in USDT, to smaller ecosystems like Solana and Avalanche, the RGB integration is different.
It leverages Bitcoin’s own scripting capabilities and the protocol’s unique client-side validation to create a version of USDT that is intrinsically part of the Bitcoin ecosystem, not just a guest on its ledger. This approach minimizes counterparty risk and directly utilizes the network’s unparalleled security and decentralization.
“Bitcoin deserves a stablecoin that feels truly native, lightweight, private, and scalable,” Tether CEO Paolo Ardoino said. “With RGB, USDT gains a powerful new pathway on Bitcoin, reinforcing our belief in Bitcoin as the foundation of a freer financial future.”
That belief carries weight given USDT’s scale. With a market capitalization of $267.34 billion, USDT is the largest stablecoin in circulation and a linchpin of global crypto liquidity. Its supply is spread across a range of blockchains, including Celo and Cosmos, making the stablecoin a truly multichain instrument.
By extending to RGB, Tether is testing whether Bitcoin can join that roster not as an ancillary network but as a foundational settlement layer.
