Tether disclosed that its dollar-pegged USDT stablecoin will soon be available on the layer-1 blockchain Aptos Network. In the stablecoin issuer’s press release, it noted that it is part of its strategy to make USDT more accessible to crypto users.
The company did not specify when USDT will become available on the Aptos network. Aptos launched in 2022 and has recently enjoyed renewed interest from the crypto community for reasons such as its speed and cheap features.
Tether cites Aptos blockchain infrastructure as key to integration
According to Tether, the decision to expand its USDT stablecoin offering to Aptos is based on the blockchain’s infrastructure, which is “designed for unparalleled speed and scalability.”
The blockchain network developed by former Facebook engineers has experienced significant growth in recent months. The average daily user count increased from 96,000 in January to 170,000 by the end of July. It has also doubled its total value locked this year.
Additionally, Aptos has seen notable growth in transaction volumes, with a daily transaction hitting a record high of 157 million on May 25, 2024. Tether cites these capabilities as crucial advantages for the network that make it suitable for USDT integration.
While speaking about the proposed USDT launch on Aptos, Tether’s CEO, Paolo Ardoino, described Aptos as a solid platform that will make digital currencies more accessible.
He said:
“Aptos’ innovative technology offers a solid platform for facilitating faster and more cost-effective transactions with USDT. This collaboration underscores our ongoing efforts to lead with innovation and support our users with stable, reliable financial tools.”
Tether also noted that Aptos has a strong developer community and low gas fees, making it attractive for USDT and viable for all use cases. Several decentralized applications (dApps) have been deployed on the network in the past few months.
Market observers believe the stablecoin issuer’s decision to enter the Aptos ecosystem is to grow its hold on decentralized finance transactions. Despite being the largest stablecoin, USDT sees limited use in the DeFi space compared to its closest competition, Circle’s USDC.
Aptos insiders expect Tether’s USDT to bring more activity to the network
The integration of USDT could also be a significant selling point for the upstart layer-1 network in its bid to compete with more established blockchain networks. USDT is the largest stablecoin with a market cap of over $116 billion.
Tether USDT Token Supply (Source: Tether)
Aptos insiders think integrating the most used stablecoin into the network could have a massive impact on its growth. They believe the integration will attract more builders to Aptos and allow for new use cases on the network, particularly in attracting institutional DeFi protocols.
Aptos Foundation Head of Grants and Ecosystem, Bashar Lazaar, shares this sentiment. He said, “The launch of USDt on Aptos accelerates the availability and utility of real-world value for institutions, Web3 builders, and regular people worldwide.”
Meanwhile, the integration with Aptos also appears to be an endorsement of the network by the stablecoin issuer. Tether announced in June that it would stop minting USDT on EOS and Algorand networks due to factors related to usage, maintainability, and community interest.
APT has risen by 3.6% against Bitcoin since the announcement.
