Home Tether’s USDT0 Launches On Stellar, Bringing Cross-chain USDT Liquidity

Tether’s USDT0 Launches On Stellar, Bringing Cross-chain USDT Liquidity

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Tether’s USDT0 Launches On Stellar, Bringing Cross-chain USDT Liquidity
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  • Tether-backed cross-chain stablecoin liquidity is now available on Stellar with the launch of USDT0.
  • The integration connects USDT0 across compatible blockchains using LayerZero’s Omnichain Fungible Token standard.
  • USDT0 offers interoperable access to USDT liquidity rather than being a new direct USDT issuance by Tether on Stellar.

USDT0 launched on Stellar on September 2, giving users access to cross-chain USDT liquidity through LayerZero’s Omnichain Fungible Token standard.

The integration is designed to make it easier for USDT0 to move between Stellar and other supported blockchains without relying on separate wrapped token pools. The launch could expand Stellar’s stablecoin infrastructure for payments, trading, treasury transfers and decentralized finance.

Kraken, Bitget, Fireblocks, Freighter, Lobstr and SushiSwap were among the platforms supporting USDT0 when Stellar announced the integration.

LayerZero Connects USDT0 Across Networks

USDT0 is not a new direct issuance of USDT by Tether on Stellar. Instead, it uses cross-chain infrastructure to extend access to Tether-backed liquidity across supported networks.

LayerZero’s technology allows USDT0 to transfer between connected blockchains while maintaining a unified supply backed one-to-one by USDT. This approach tries to cut down liquidity fragmentation that happens when old bridges make copies of the same asset. Liquidity fragmentation can hurt users.

However, cross‑chain transfers still use contracts and interoperability infrastructure. Cross‑chain transfers keep users exposed to operational risks.

The official USDT0 ecosystem lists more than 25 supported networks right now, such as Ethereum, Solana, Arbitrum, Avalanche, Polygon, TON, Optimism, Hyperliquid and Stellar. USDT0 ecosystem continues to grow.

Stellar Expands Its Stablecoin Payment Infrastructure

The launch comes as Stellar continues to grow its role in payments and tokenized assets. The Stellar Development Foundation reported $5.5 billion in stablecoin payment volume during the quarter of 2026 up 72% year, over year.

Tokenized real-world assets on the network also surpassed $2 billion shortly after the quarter ended. Stellar already supports major dollar-denominated assets such as Circle’s USDC and Franklin Templeton’s BENJI. MoneyGram also introduced MGUSD on the network in June.

USDT0 adds another option for users who already prefer USDT across global crypto markets, particularly in regions where dollar-backed digital assets are used for transfers and settlement.

USDT0 Adoption Will Depend On Local Liquidity

While USDT0 provides Stellar with access to broader USDT liquidity, the launch does not mean that $180 billion of USDT is immediately available on Stellar.

The figure refers to the broader market capitalization of USDT. Actual USDT0 liquidity on Stellar will depend on deposits, exchange activity, market makers and demand from users and payment providers.

Future adoption will likely be measured through USDT0 supply on Stellar, transfer volume, decentralized exchange liquidity and payment integrations.

Stay informed with the latest trends in Web3, blockchain innovation, and cybersecurity updates at 3verseTV

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