Tether’s USDT Stablecoin Makes Debut on TON Blockchain, Strengthening Web3 Integration

Tether, the operator of the popular stablecoin USDT, is further deepening its collaboration with Telegram’s Web3 ecosystem by launching USDT on The Open Network (TON).

The announcement, made on April 19, also includes the introduction of Tether Gold (XAUT) stablecoin on the TON blockchain. This move signifies a closer alignment between Tether and Telegram’s Web3 initiatives.

During their keynote speeches at the Token2049 event in Dubai, Tether CEO Paolo Ardoino and Telegram founder Pavel Durov highlighted the shared vision of an open, decentralized internet and borderless financial system between TON and Tether.

Ardoino expressed optimism about the seamless value transfer and increased liquidity that USDT and XAUT on TON will offer, providing users with a financial experience akin to traditional financial systems.

This expansion marks another significant milestone in Tether’s journey across various blockchains, extending its reach to 15 chains including Tron and Ethereum.

For the TON network, the integration of USDT and XAUT brings potential for simplified peer-to-peer payments, leveraging Telegram’s vast global user base estimated at over 900 million users.

Unique to TON’s ecosystem is its capacity for fiat-to-crypto transfers, with plans to surpass traditional finance in efficiency and user experience. Jack Booth, TON Foundation’s marketing head, highlighted the built-in fiat on-ramps at launch, with global off-ramps to bank cards and accounts slated for the near future.

While USDT’s launch on TON represents a significant stride, it’s not the first encounter between the two ecosystems. USDT has been a default cryptocurrency option on Wallet, a third-party custodial wallet for Telegram users, since at least 2023, alongside other major coins like Bitcoin and Toncoin.

At present, the Tron network is the default blockchain for USDT on Wallet, facilitating TRC-20 USDT transactions. However, with the introduction of TON-based USDT, users will have an additional option while TRC-20 USDT will remain available.

This development follows Tether’s recent launch of a recovery tool in March 2024, enabling users to migrate USDT across different blockchains. On March 4, USDT surpassed an all-time high market cap of $100 billion, underscoring its growing prominence in the cryptocurrency market.