Tether comes back to Bitcoin
Tether is making a groundbreaking move by bringing USDT to the Bitcoin blockchain and Lightning Network. This integration, powered by the Taproot Assets protocol from Lightning Labs, combines the security of Bitcoin with the speed and low costs of Lightning. The move aims to enhance Bitcoin’s financial ecosystem, boost cross-border payments, and facilitate AI-driven transactions.
"Tether is bringing USDT to bitcoin, with both on-chain transactions and Lightning Network support."
This will enable instant, low-cost stablecoin transactions while leveraging Bitcoin’s decentralization and security.
USDT’s total on-chain volume reached $10 trillion in 2024, nearing Visa’s $16 trillion annual volume.
Hundreds of millions of users and trillions of dollars in transactions could now flow through Bitcoin and Lightning.
“Once fully integrated, users will be able to make cross-border payments with USDT on Lightning that settle instantly and at a fraction of the cost of other networks.”
Merchants currently accepting Bitcoin via Lightning can seamlessly add USDT payments.
"Tether on Lightning will power the coming wave of AI agent transactions, allowing machines to pay machines with instant, high volume transactions."
Autonomous systems, including AI agents and self-driving vehicles, could transact in stablecoins.
USDT on Bitcoin is expected to foster DeFi growth, supporting lending, trading, and tokenization.
“The over 350 million Tether users worldwide will soon have the option to transact using bitcoin and Lightning.”
Users in emerging markets will gain better access to stable digital payments, reducing reliance on inflation-prone local currencies.
The announcement was made by Lightning Labs CEO Elizabeth Stark and Tether CEO Paolo Ardoino in El Salvador, the first country to adopt Bitcoin as legal tender.
“It’s incredibly fitting to be making this announcement in the country that kicked off the demand for stablecoins on Lightning in the first place.”
Developers can start integrating USDT on Lightning using the latest litd suite, which bundles lnd, tapd, and liquidity services.
Resources include API documentation, getting started guides, and a developer community on Slack and X (Twitter).
